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Regression-Discontinuity Design - Institute for Policy Research

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Variance of Impact Estimator in RA<br />

^<br />

Var ra (α 0 ) = σ 2 (1-R ra2 )<br />

np(1-p)(1-ns-co) 2<br />

• σ 2 is the variance of mean student outcomes across schools<br />

within the treatment or comparison group<br />

• R ra2 is the square of the correlation between school<br />

outcomes and the assignment variable<br />

• np(1-p) is the total variation in treatment status across<br />

schools<br />

• ns is the no-show (via appeals) rate<br />

• co is the cross-over (via participation) rate

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