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  • Difference between parametric vs nonparametric Regression Discontinuity Design

    Hello, I'm trying to run an RDD exploiting a close election (where the margin of votes was less than 5%) in Brazil.
    However, I am having trouble understanding the difference between parametric and nonparametric Regression Discontinuity Design. Can anyone help me out with grappling with the different concepts? Thank you!

  • #2
    Nonparametric imposes no functional form (linear) and will use locally-weighted regression or some such.

    You might look at something like this to get a feel for it:

    Code:
    twoway lfit var1 time || lowess var1 time
    This might be helpful.

    HTML Code:
    https://www.survey.mdrc.org/sites/default/files/RDD%20Guide_Full%20rev%202016_0.pdf

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