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st: 2 simultaneous treatments in Diff in Diff


From   "sebastian.blesse" <[email protected]>
To   [email protected]
Subject   st: 2 simultaneous treatments in Diff in Diff
Date   Fri, 3 May 2013 03:27:11 -0700 (PDT)

Dear Statalistusers,

my problem is the following: I have a panel (from 1999 to 2005,
observations are 410) over municipal expenditure data and several controls
and i want to run a difference in difference estimation on the expenditure
impacts of a amalgamation reform taken place between 2000 and 2003. Beside
the municipal mergers also a change of their administrative form changed
partially in the sample of municipalities. I have binary dummies for the
respective years of administrative change as well as cumulated dummies 
which are set to the same values for all years of the sample. How can i
account for the administrative change in my Diff in Diff (both pooled OLS
and fixed effects) setting, which has the main purpose of analzing the
fiscal effects of amalgamations. Are IVs a possibility or are theyre better
options?
Any help would be appreciated.

Thanks,

Sebastian



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