Working Paper: NBER ID: w28113
Authors: Alberto Bisin; Andrea Moro
Abstract: In Historical Economics, Persistence studies document the persistence of some historical phenomenon or leverage this persistence to identify causal relationships of interest in the present. In this chapter, we analyze the implications of allowing for heterogeneous treatment effects in these studies. We delineate their common empirical structure, argue that heterogeneous treatment effects are likely in their context, and propose minimal abstract models that help interpret results and guide the development of empirical strategies to uncover the mechanisms generating the effects.
Keywords: local average treatment effects; persistence studies; instrumental variables; identification; institutions; culture
JEL Codes: C36; C51; N01
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| heterogeneous treatment effects (C21) | interpretation of causal relationships (C22) |
| exogenous historical factor (N13) | cultural norms or institutions (F55) |
| cultural norms or institutions (F55) | economic development (O29) |
| exogenous historical factor (N13) | economic development (O29) |
| cultural norms or institutions (F55) | local average treatment effects (C22) |