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Fixed effect estimators of nonlinear panel data models suffer from the incidental parameter problem. This leads to two undesirable consequences in applied research: (1) point estimates are subject to large biases, and (2) confidence…

Econometrics · Economics 2022-04-18 Shuowen Chen

This article reviews recent advances in fixed effect estimation of panel data models for long panels, where the number of time periods is relatively large. We focus on semiparametric models with unobserved individual and time effects, where…

Econometrics · Economics 2018-03-29 Iván Fernández-Val , Martin Weidner

We move beyond "Is Machine Learning Useful for Macroeconomic Forecasting?" by adding the "how". The current forecasting literature has focused on matching specific variables and horizons with a particularly successful algorithm. In…

We study the application of the grouped fixed effects approach to binary choice models for panel data in presence of severe complete separation. Through data loss, complete separation may lead to biased estimates of Average Partial Effects…

Econometrics · Economics 2025-11-07 Claudia Pigini , Alessandro Pionati , Francesco Valentini

Most existing recommender systems represent a user's preference with a feature vector, which is assumed to be fixed when predicting this user's preferences for different items. However, the same vector cannot accurately capture a user's…

Information Retrieval · Computer Science 2019-08-22 Fan Liu , Zhiyong Cheng , Changchang Sun , Yinglong Wang , Liqiang Nie , Mohan Kankanhalli

Treatment effect estimation is essential for informed decision-making in many fields such as healthcare, economics, and public policy. While flexible machine learning models have been widely applied for estimating heterogeneous treatment…

Machine Learning · Computer Science 2025-09-29 Pascal Memmesheimer , Vincent Heuveline , Jürgen Hesser

Today, treatment effect estimation at the individual level is a vital problem in many areas of science and business. For example, in marketing, estimates of the treatment effect are used to select the most efficient promo-mechanics; in…

Machine Learning · Computer Science 2019-12-04 Aleksey Buzmakov , Daria Semenova , Maria Temirkaeva

Mixed Models for Repeated Measures (MMRMs) are ubiquitous when analyzing outcomes of clinical trials. However, the linearity of the fixed-effect structure in these models largely restrict their use to estimating treatment effects that are…

Methodology · Statistics 2023-01-23 Lars Lau Raket

I propose a quantile-based nonadditive fixed effects panel model to study heterogeneous causal effects. Similar to standard fixed effects (FE) model, my model allows arbitrary dependence between regressors and unobserved heterogeneity, but…

Econometrics · Economics 2025-12-11 Xin Liu

Personalizing large language models (LLMs) to accommodate diverse user preferences is essential for enhancing alignment and user satisfaction. Traditional reinforcement learning from human feedback (RLHF) approaches often rely on monolithic…

Machine Learning · Computer Science 2025-04-22 Avinandan Bose , Zhihan Xiong , Yuejie Chi , Simon Shaolei Du , Lin Xiao , Maryam Fazel

Hierarchical random effect models are used for different purposes in clinical research and other areas. In general, the main focus is on population parameters related to the expected treatment effects or group differences among all units of…

Applications · Statistics 2021-04-07 Maryna Prus , Norbert Benda , Rainer Schwabe

The increasing scientific attention given to precision medicine based on real-world data has led many recent studies to clarify the relationships between treatment effects and patient characteristics. However, this is challenging because of…

Methodology · Statistics 2022-06-20 Ke Wan , Kensuke Tanioka , Toshio Shimokawa

This paper integrates deep neural networks (DNNs) into structural economic models to increase flexibility and capture rich heterogeneity while preserving interpretability. Economic structure and machine learning are complements in empirical…

Econometrics · Economics 2025-04-28 Max H. Farrell , Tengyuan Liang , Sanjog Misra

Machine learning methods for estimating heterogeneous treatment effects (HTE) facilitate large-scale personalized decision-making across various domains such as healthcare, policy making, education, and more. Current machine learning…

Machine Learning · Computer Science 2024-06-25 Disha Makhija , Joydeep Ghosh , Yejin Kim

For public health programs with limited resources, the ability to predict how behaviors change over time and in response to interventions is crucial for deciding when and to whom interventions should be allocated. Using data from a…

Machine Learning · Computer Science 2024-09-05 Roderick Seow , Yunfan Zhao , Duncan Wood , Milind Tambe , Cleotilde Gonzalez

The unit selection problem aims to identify a set of individuals who are most likely to exhibit a desired mode of behavior, for example, selecting individuals who would respond one way if encouraged and a different way if not encouraged.…

Artificial Intelligence · Computer Science 2022-08-23 Ang Li , Judea Pearl

The unit selection problem is to identify a group of individuals who are most likely to exhibit a desired mode of behavior, for example, selecting individuals who would respond one way if incentivized and a different way if not. The unit…

Artificial Intelligence · Computer Science 2022-10-18 Ang Li , Song Jiang , Yizhou Sun , Judea Pearl

Flexible estimation of heterogeneous treatment effects lies at the heart of many statistical challenges, such as personalized medicine and optimal resource allocation. In this paper, we develop a general class of two-step algorithms for…

Machine Learning · Statistics 2020-08-07 Xinkun Nie , Stefan Wager

We propose a new, flexible model for inference of the effect of a binary treatment on a continuous outcome observed over subsequent time periods. The model allows to seperate association due to endogeneity of treatment selection from…

Methodology · Statistics 2021-03-02 Helga Wagner , Sylvia Frühwirth-Schnatter , Liana Jacobi

We provide an inferential framework to assess variable importance for heterogeneous treatment effects. This assessment is especially useful in high-risk domains such as medicine, where decision makers hesitate to rely on black-box treatment…

Methodology · Statistics 2026-05-11 Pawel Morzywolek , Peter B. Gilbert , Alex Luedtke
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