In an earlier substack on Tymon Sloczynski‘s 2022 Restat (hereafter “Tymon”) I went through the algebraic properties of this OLS model:
\(Y_i = \alpha + \tau D_i + \beta X_i + \varepsilon_i\quad{\text{ (1)}}\)
I noted that Tymon had a theorem he called the “weighted average interpretation of OLS” that showed the OLS estimate of tau was a weighted average of two average partial linear effect quantities — one for the treatment …
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