---
authors:
  - admin
categories:
  - R
  - Causal Inference
  - Difference-in-Differences (DiD)
draft: false
featured: false
date: "2019-04-01T00:00:00Z"
external_link: ""
image:
  caption: ""
  focal_point: Smart
links:
- icon: open-data
  icon_pack: ai
  name: "[R] Google Colab"
  url: https://colab.research.google.com/drive/14LJEYHZTlw5wtIK0bR0lOza7lQiO0krc?usp=sharing
- icon: open-data
  icon_pack: ai
  name: "[R] Posit cloud"
  url: https://posit.cloud/content/6182152

- icon: markdown
  icon_pack: fab
  name: "MD version"
  url: https://raw.githubusercontent.com/cmg777/starter-academic-v501/master/content/post/r_basic_did/index.md
slides: 
summary: An introduction to the basic differences in differences method using the classical incenerator example of Kiel and McClain (1995)
tags:
- other
- r
- causal
- causal inference
title: Basic DiD
url_code: ""
url_pdf: ""
url_slides: ""
url_video: ""
---

In this case study, we use the Differences in Differences (DiD) method to analyze the effect of a garbage incinerator's location on housing prices. This method is a statistical technique used in econometrics that calculates the effect of a treatment (in this case, the placement of a garbage incinerator) on an outcome (here, housing prices) by comparing the average change over time in the outcome variable for the treatment group to the average change over time for the control group. You can run and extend the analysis of this case study using [Posit cloud](https://posit.cloud/content/6182152) or  [Google Colab](https://colab.research.google.com/drive/14LJEYHZTlw5wtIK0bR0lOza7lQiO0krc?usp=sharing).