21.7 Hierarchical Ordering of Causal Tools

Causal inference tools can be categorized based on their methodological rigor, with randomized controlled trials (RCTs) considered the gold standard.

  1. Experimental Design: Randomized Control Trials (Gold standard)

  2. Quasi-experimental

    1. Regression Discontinuity

    2. Synthetic Difference-in-Differences

    3. Difference-In-Differences

    4. Synthetic Control

    5. Event Studies

    6. Fixed Effects Estimator

    7. Endogenous Treatment: mostly Instrumental Variables

    8. Matching Methods

    9. Interrupted Time Series

    10. Endogenous Sample Selection