Choosing among Alternative Nonexperimental Methods for Estimating the Impact of Social Programs: The Case of Manpower Training

The recent literature on evaluating manpower training programs demonstrates that alternative nonexperimental estimators of the same program produce an array of estimates of program impact. These findings have led to the call for experiments to be used to perform credible program evaluations. Missing...

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Bibliographic Details
Published in:Journal of the American Statistical Association 1989-12, Vol.84 (408), p.862-874
Main Authors: Heckman, James J., Hotz, V. Joseph
Format: Article
Language:English
Subjects:
Applications and Case Studies
Consistent estimators
Control variables
Estimation methods
Estimators
Evaluation
High schools
Human resources
Model-selection tests
Public assistance programs
School dropouts
Selection bias
Weighted averages
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Summary:The recent literature on evaluating manpower training programs demonstrates that alternative nonexperimental estimators of the same program produce an array of estimates of program impact. These findings have led to the call for experiments to be used to perform credible program evaluations. Missing in all of the recent pessimistic analyses of nonexperimental methods is any systematic discussion of how to choose among competing estimators. This article explores the value of simple specification tests in selecting an appropriate nonexperimental estimator. A reanalysis of the National Supported Work Demonstration data previously analyzed by proponents of social experiments reveals that a simple testing procedure eliminates the range of nonexperimental estimators at variance with the experimental estimates of program impact.
ISSN:0162-1459
1537-274X
DOI:10.1080/01621459.1989.10478848