Post-Double Selection LASSO for Econometric Analysis

This video explains the post-double selection (PDS) LASSO method for estimating treatment effects in linear models while avoiding variable selection bias. I demonstrate how this approach combines machine learning variable selection with traditional econometric estimation, showing its application to the influential Donohue-Levitt (2001 QJE) study on abortion legalization and crime. Slides used in the video are available here: https://raw.githack.com/tyleransom/st... Source code of slides is here: https://github.com/tyleransom/structu... Scientific papers referenced: John J. Donohue, Steven D. Levitt, The Impact of Legalized Abortion on Crime, The Quarterly Journal of Economics, Volume 116, Issue 2, May 2001, Pages 379–420, https://doi.org/10.1162/0033553015114... Alexandre Belloni, Victor Chernozhukov, Christian Hansen, Inference on Treatment Effects after Selection among High-Dimensional Controls, The Review of Economic Studies, Volume 81, Issue 2, April 2014, Pages 608–650, https://doi.org/10.1093/restud/rdt044 Stata software for implementing this method: https://statalasso.github.io/ Key Topics: Post-double selection LASSO methodology Avoiding regularization bias in treatment effect estimation Two-stage variable selection: outcome equation + treatment equation Application to two-way fixed effects and difference-in-differences models Reanalysis of Donohue-Levitt abortion-crime hypothesis Tyler Ransom is an Associate Professor of Economics at the University of Oklahoma. Subscribe for more videos on data science, econometrics, and research methods! #postdoubleselectionlasso #PDSlasso #machinelearningeconometrics #treatmenteffectestimation #variableselection #regularizationbias #lassoregression #highdimensionalcontrols #causalinference #differenceindifferences #twowayfixedeffects #instrumentalvariables #Stataeconometrics #pdslasso #doubledebiasedmachinelearning #BelloniChernozhukovHansen #DonohueLevittabortioncrime #selectionbias #sparsemodels #penalizedregression #appliedeconometrics #econometricmethods #empiricaleconomics #quasiexperimentalmethods #observationalstudies #controlvariables #modelspecification #robustnesschecks #economicresearchmethods