Visualization, Identification, and Estimation in the Linear Panel Event Study Design

Published in Advances in Economics and Econometrics - Twelfth World Congress (Forthcoming), 2021

Video Series on Linear Panel Event-Study Designs

Coverage: NBER SI 2023 Methods Lectures - Linear Panel Event Study Designs

Download latest version --- Stata Package --- R Library

With Simon Freyaldenhoven, Christian Hansen and Jesse Shapiro

You can install the Stata package by typing “ssc install xtevent” in Stata’s command window.

You can install the R library by typing “install.packages(“eventstudyr”)” in R’s command window.

Abstract: Linear panel models, and the “event-study plots” that often accompany them, are popular tools for learning about policy effects. We discuss the construction of event-study plots and suggest ways to make them more informative. We examine the economic content of different possible identifying assumptions. We explore the performance of the corresponding estimators in simulations, highlighting that a given estimator can perform well or poorly depending on the economic environment. An accompanying Stata package, xtevent, facilitates adoption of our suggestions.