Act I: Matching vs Regression: In Defense of the ATT

Behavioral implications of unconfoundedness and exogeneity

Prologue

Imagine a racetrack where matching and regression are two thoroughbreds racing one another in a battle for causal inference supremacy. Both powerful contenders have their detractors and advocates, but since each appears unbiased in similar situations, why should either consistently outperform the other? This is what today’s substack essay is ab…