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pps_core
2008 Nov 09
1
[OT] propensity score implementation
...1) First of all, if we assume that T = 1 if an individual belongs to
treatment group and T = 0 otherwise. We further assume that X is a covariate
matrix to explain the assignment of treatment. Then the propensity score
should be the probability of treatment exposure T = 1 and can be formulated
as
PPscore = Prob(T=1|X) = exp(A * X) / [1 + exp(A * X)] in the range between 0
and 1.
2) At the second stage, let Y = 1 / 0 is a binary outcome variable and Z the
covariate matrix to explain outcome. In order to balance the probability of
an individual assigned to the treatment group such that Prob(Y = 1) _...