Causal Inference with Python: A Information to Propensity Rating Matching | by Lukasz Szubelak | Jul, 2024

An introduction to estimating remedy results in non-randomized settings utilizing sensible examples and Python code

Picture by Isaac Smith on Unsplash

Evaluating the influence of remedies or interventions is essential in numerous fields, each in industrial and public settings. Figuring out whether or not a particular motion produces the specified impact is important for making knowledgeable selections. Whereas randomized experiments are thought of the gold normal for such evaluations, they don’t seem to be all the time possible.

Varied causal inference strategies will be utilized to estimate remedy results in these instances. This text describes the highly effective methodology used within the causal inference workshop: propensity rating matching, offering a information to this analytical method.

What’s Propensity Rating Matching?

Propensity rating matching (PSM) permits us to assemble a synthetic management group based mostly on the similarity of the handled and non-treated people. When making use of PSM, we match every handled unit with a non-treated unit of comparable traits.

This manner, we are able to receive a management group with out the randomized experiment. This synthetic management group would include the non-treated items that resemble the handled…