Technical Aspects of Correspondence Studies
This paper discusses technical concerns and choices that arise when crafting a correspondence or audit study using external validity as a motivating framework. We will discuss resume creation, including power analysis, choice of inputs, pros and cons of matching pairs, solutions to the limited template problem, and ensuring that instruments indicate what the experimenters want them to indicate. Further topics about implementation include when and for how long to field a study, deciding on a participant pool, and whether or not to use replacement from the participant pool. More technical topics include matching outcomes to inputs, data storage, and analysis issues such as when to use clustering, when not to use fixed effects, and how to measure heterogeneous and interactive effects. We end with a technical checklist that experimenters can utilize prior to fielding a correspondence study.
I have no disclosures to make. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.