Question

QUESTION 1

A) How should the density of values of the running variable (you could think of the density as the number of observations) look across the treatment threshold in a figure showing this distribution if an RD approach is valid?

	a.	Smooth
	b.	Discontinuous

B) Which one of the following is NOT one of the requirements for an RD approach to be valid?

	a.	Individuals/units cannot perfectly manipulate their value of the running variable.
	b.	There must be a common trend in treated and control units.
	c.	Other determinants of the outcome should change smoothly across the cutoff value of the running variable.

C). If study subjects can finely manipulate the value of their running variable, RDD no longer eliminates selection bias because _____.

	a.	Subjects manipulating their running variable to get treated are different from those who do not.
	b.	The cutoff no longer mimics random assignment.
	c.	Neither a. nor b. are true.
	d.	Both a. and b. are true.

Answer 1

A) Correct answer is the SMOOTH, [ OPTION- a ].

--> The density of the values of running variable must look like smooth but not dicontinuos.

B) Correct answer is INDIVIDUALS/ UNITS CANNPPT PERFECTLY MANIPULATE THEIR VALUE OF THE RUNNING VARIABLE.

[ OPTON-a].