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  • Interpreting coefficient after propensity score matching using teffects psmatch

    I'm new to propensity score matching and I'm trying to understand the output for my analysis. I've run the following command in Stata to match observations on a variety of preprogram characteristics:

    teffects psmatch (recidivism) (compprogram age race gender poffense hhincome offense tcproc)

    Recidivism is the outcome variable and compprogram is the treatment variable. Because the outcome variable is dichotomous, I'm a bit confused about how to interpret the coefficient as it pertains to the Average Treatment Effect. I get the interpretation of a continuous variable, however I've been unable to find any literature that specifically discusses the output as it relates to a dichotomous variable.

    Any help on interpretation would be much appreciated and I've attached the output for more info.

    Brandon

  • #2
    Dear Brandon, I have similar problem with propensity score and binary outcome! Have you solve this problem?

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    • #3
      I believe the coefficient for a binary outcome is the absolute difference between the percentages for the two groups. Say your binary outcome is gender (terrible example I know), where 0=female and 1=male. If your treatment effect is say 0.1372, then the difference in the percentages of males between the two groups is 13.7%. So the control group may have 26% males, while the treatment group has 39.7% males.

      Hope that makes some sense.

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