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  • Heterogeneous Treatment Effects in Regression Discontinuity and rdrobust

    Dear all,

    I have a question regarding modelling treatment effect heterogeneity on the user-written command rdrobust.

    Suppose the running variable is distance to the border. Distance in control states is negative, so that the border is distance = 0. The dependent variable is y.

    For now I have:

    Code:
    rdrobust y distance, covs(x1 x2 statepairFE*) //the covariates are quite important as I wish to compare only contiguous states
    I have reason to believe that the treatment effect is stronger in states with higher density. So I generate a dummy variable called
    Code:
    above_median_density_state
    .

    Therefore, I would like to interact the running variable, distance, with this dummy to model this treatment effect heterogeneity. I have two questions:

    - How can I get a coefficient on
    Code:
    distance
    and
    Code:
    c.distance#1.above_median_density_state
    through rdrobust to model the heterogenous treatment effect?

    - Is there anyway to "manually" run a regression discontinuity estimation (simply a first order polynomial) modelling this heterogeneity in the treatment effect between high and low density states, within an optimal MSE-minimising bandwidth?

    Many thanks in advance for your help!
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