Glossary of economics research

Results of search for average treatment effect follow:

average treatment effect: In a treatment model where some observations receive the treatment (for example, a training program) and some do not, the average treatment effect is the difference between the conditional expectation of the dependent variable with the treatment effect and the conditional expectation of the dependent variable without the treatment effect. This is the average benefit from the treatment.

Often this term is abbreviated ATE.

Source: source: John Pencavel, lecture notes for Econ 247, Stanford University, circa 2000-2005.
Contexts: estimation; labor


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