Full Citation

Title: Local Average Neighborhood Effects from Moving to Opportunity

Citation Type: Working Paper

Publication Year: 2012

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Abstract: his paper estimates Local Average Treatment Effects (LATEs) of neighborhood quality from the Moving to Opportunity (MTO) housing mobility experiment in a generalized model with multiple treatment levels. We propose a new approach to identifying parameters that exploits the identification of unobservables in the multi-level model. The variation in neighborhood quality induced by MTO only allows us to identify LATEs of moving from the first to the second decile of the national distribution of quality, but in other applications the approach may allow for the estimation of Marginal Treatment Effects. Estimated LATEs on employment, labor force participation rates, earnings, income, welfare receipt, and body mass index are consistent with standard theories of neighborhood externalities.

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Authors: Aliparantis, Dionissi; Richter, Francisca

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Publication Number: 12-08

Institution: Federal reserve Bank of Cleveland

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Publisher Location: Cleveland, Ohio

Data Collections: IPUMS NHGIS

Topics: Housing and Segregation, Labor Force and Occupational Structure

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