Ferman, Bruno; Pinto, Cristine Campos de Xavier - In: Quantitative Economics 12 (2021) 4, pp. 1197-1221
We analyze the properties of the Synthetic Control (SC) and related estimators when the pre-treatment fit is imperfect. In this framework, we show that these estimators are generally biased if treatment assignment is correlated with unobserved confounders, even when the number of pre-treatment...