Difference-in-Differences with Time-varying Continuous Treatments using Double/Debiased Machine Learning
arXiv:2410.21105v2 Announce Type: replace-cross Abstract: We propose a difference-in-differences (DiD) framework designed for time-varying continuous treatments across multiple periods. Specifically, we estimate the average treatment effect on the treated (ATET) by comparing distinct non-zero treatment intensities. Identification rests on a conditional parallel trends assumption that accounts for observed covariates and past treatment histories. Our approach allows for lagged treatment effects and, in repeated cross-sectional settings, accommodates compositional changes in covariates. We develop kernel-based ATET estimators for both repeated […]