Policy Analysis Exam Flashcards
What do the following acronyms stand for: T, C, RCT, PE, PIE, and SRS?
T = treatment or treatment group
C = control group
RCT = randomised controlled trials
PE = policy evaluation
PIE = policy impact evaluation
SRS = simple random sampling
What are the two different categories of evaluation?
- Operational evaluations: examines how effectively programs were implemented and whether there are gaps between planned and realized outcomes.
- Impact evaluations: studies whether the changes in well-being are due to the program intervention and not to other factors.
Define Policy Impact Evaluation (PIE).
- An assessment of the causal effect of a specific intervention on some measurable outcomes in a target population.
- This causal effect is called treatment / intervention impact.
- This also includes assessing if a policy reaches the goals for which it was implemented
What questions should we ask when determining the difference between intervention design and evaluation design?
- Who is more in need?
- Who will be more reactive to the intervention?
- Who is less at risk of adverse outcomes?
- There are also political constraints.
What is the main tradeoff in PIE?
Effectiveness and generalisability.
What is the issue of heterogeneity?
- That the effects of a program and inputs affecting outcomes may vary over its expected lifetime.
- Thus, monitoring long-term as well as short-term outcomes may be of interest to policymakers.
What are the four criteria for effective intervention designs?
- Efficacy: establish a detailed, plausible chain of causal mechanisms.
- Compliance: promote real participation to T.
- Cost-effectiveness.
- Standardisation: a reasonable degree of uniformity.
What are some examples of social issues?
- Community support programs improve the health outcomes of babies.
- Reducing the size of classrooms in primary schools benefits disadvantaged students.
- Urban desegregation improves the occupational opportunities of ethnic minorities.
- Smoking marijuana enhances the risk of cancer.
What is causality?
If x (cause, treatment, intervention) is changed, there will be a change in y (effect, impact, outcome).
What are four reasons for which PIE are important?
- Informs evidence of outcomes.
- Cost-effectiveness.
- Accountability.
- Job opportunities.
What does ex-ante PIE predict?
The policies impacts and its viability using data before the program intervention.
What does ex-post PIE predict?
It predicts outcomes after programs have been implemented.
What are reflexive comparisons?
A type of ex-post evaluation; they examine program impacts through the difference in participant outcomes before and after program implementation (or across participants and nonparticipants).
What is the main challenge across different types of policy evaluation?
To find a good counterfactual—namely, the situation a participating subject would have experienced had he or she not been exposed to the program.
When were policy evaluations invented, and who uses them?
1980s. Policymakers, practitioners, private foundations, NGOs, associations, beneficiaries, proponents and skeptics. Mostly used in Anglo-Saxon countries.
What is the minimum amount of time to complete a policy evaluation?
Six months
What is the first step of every evaluation?
To determine who are the key stakeholders, which may include individuals who have:
- Access to the field,
- Data, context and information,
- Funding and support,
- Interferences.
Why must the policy goal be specified clearly?
- For it to be measurable.
- The policymaker will state the outcome in a very generic and vague way – to the researcher that clearly identifies how to measure the efficacy of the policy.
- It is key, for a researcher, to establish the specific outcomes so that the policymakers (who come up with the idea) cannot argue against the results once released.
Are ex-ante or ex-post evaluations preferable?
Ex-ante (may be referred to as simulations)
What is input?
Set of resources required for a policy, including economic resources (data), human resources (IT employees to create an app).
What is output?
The set of products/results/deliverables of the policy that comes from the actions of the policy. For example, how many people have downloaded the app?
What are outcomes?
Outcomes refers to the causal impact and the net effect of the policy – how it changed the course of events of individuals and groups.
What is the main difference between output and outcomes?
The causal effect and the fact that outputs focus on the results produced during the program, and not after.
What is the main tension between policymakers and researchers?
Time. There is a tension between policymakers that want to know the results as soon as possible, and the fact that researchers are interested in long-term outcomes and not short-term outcomes.
When the EU assesses policies, what do they evaluate?
- Budget
- Legal
- Deliverables
What is the mixed methods approach?
It mixes quantitative and qualitative methods such as PIE and the process assessment.
What is the theory of change?
An explanaton of the process of change by outlining causal linkages in an initiative. It is best to start by the long-term outcomes and work backwards to treatment implementation, identifying hurdles.
Define nudging and provide an example.
An attempt at influencing people’s behaviour in a predictable way by using their biases and habits.
For example, sending people a reminder to book a doctor’s appointment, or placing healthy foods at eye level at supermarkets.
What is Kahneman’s ‘Dual Process Theory’?
At times, humans act irrationally and not in their interests because they have two systems of thought:
- System 1 (intuition): fast, unconscious, automatic, everyday decisions, error prone.
- System 2 (reasoning): slow, conscious, effortful, complex decisions, reliable.
What does the EAST Framework intend to do?
To encourage behaviour (nudges) to make it easy, attractive, social and timely.
What are the components of the EAST Framework and their biases?
- Easy: reducing effort. Biases: endowment effect, status quo effect, cognitive overload.
- Attractive: presenting benefits.Biases: availability bias, anchoring effect, loss aversion, optimism bias, scarcity bias.
- Social: harnessing social pressure. Biases: confirmation bias, harding, commitment bias, authority bias.
- Timely: prompting when they are most receptive. Biases: present bias, hyperbolic discounting, duration neglect, hot/cold states.
What is the endowment effect?
How individuals place more value on items they own, than the same items they don’t own.
Example: shares inherited from deceased relative.
What is the status quo effect?
How individuals prefer to maintain their current situation, and oppose actions that may change it.
Example: gender norms.
What is cognitive overload?
How individuals are not capable of processing more than a certain amount of information at a time.
Example: overloaded nurse.
What is the availability bias?
How individuals rely on information that comes readily to mind.
Example: plane crashes in contrast with car crashes.
What is the anchoring effect?
How individuals tend to rely and base their decisions on the first piece of information offered.
Example: products at discount.
What is loss aversion?
How individuals experience losses more intensely than equivalent gains.
Example: loss or gain of $100.
What is optimism bias?
How individuals overestimate the likelihood of positive events and underestimate the likelihood of negative events.
Example: refusal to have job security fund.
What is scarcity bias?
How the more difficult it is to acquire an item, the more value is placed upon it.
For example: the sale of luxury goods.
What is confirmation bias?
How individuals prefer information that confirms their current beliefs.
Example: certain news outlets.
What is herd mentality?
How individuals can be influenced by the majority.
Example: panic reactions in crowds.
What is commitment bias?
How individuals tend to stay committed to their past behaviours, particularly those exhibited in public.
Example: public commitment to exercise.
What is authority bias?
How individuals believe opinions of authority figures over others.
Example: doctors and dentists on toothpaste advertisements.
What is present bias?
How individuals give stronger weight to payoffs that are closer to present time.
Example: preferring $10 today, to $20 tomorrow.
What is hyperbolic discounting?
How individuals value immediate though smaller rewards than long-term, larger rewards.
Example: free shipping with bundle purchases.
What is duration neglect?
How individuals’ judgement of the unpleasantness of painful experiences depends very little on the duration of them.
Example: mothers giving birth.
What is the hot/cold empathy gap?
How individuals underestimate the influences of visceral drives on their own attitudes, preferences and behaviours, such as hunger.
Example: (cold) physicians medicating (hot) patients.
How can a researcher design an effective treatment group ex-ante?
While difficult:
* Use empirical evidence of previous PIE and PE,
* Have deep qualitative knowledge of the context,
* Conduct pilot studies, and
* Use implementation analysis.
List the four types of correlational approaches.
- Ecological and comparative analyses
- Time comparisons: pre-post
- Matched-case control studies
- Difference-in-differences
List the three types of causal approaches (PIE).
- RCT
- Regression discontinuity
- Instrumental variables
What are the steps required to determine the outcomes? (provided visual)
- Policy issue, policy goal, outcomes
- Or - input, intervention, output, outcomes
What are the steps/types of implementation in policy evaluation?
- Budget analysis
- Legal audits
- Reception of the beneficiaries
- Feedbacks from implementers
- Analysis of the deliverables
Define treatment impact, or intervention effect?
Changes in outcomes that are attributable to the treatment.
The difference between the outcome some time after the intervention has been implemented, and the outcome had the intervention not been implemented.
Define counterfactual.
The state of the world that participants would have experienced in the absence of the intervention.
That is, the outcome had the intervention not been implemented.
Define average treatment (intervention) effect.
A measure used to compare treatments in randomised experiments, evaluation of policy interventions, and medical trials.
It measures the difference in mean outcomes between units assigned to the treatment and units assigned to the control.
What is the fundamental problem of causal inference?
Intervention and the counterfactual cannot be observed simultaneously.
Individual-level causal inference is impossible.
How is a counterfactual constructed?
By making a control group, which involves selecting a group of individuals who did not participate in the intervention.
Goal: to reliably attribute any difference in outcome between the treated and control group after the treatment. RCTs are good for this.
How do correlational approaches work?
Correlational approaches to PIE use comparisons over space/time and related variations of policies and outcomes to approximate the counterfactual in the absence of random assignment.
The issue is it has a large number of confounding factors, and the comparison between the groups are not really comparable.
Thus, it is difficult to isolate the specific causal impact of the intervention.
What are pre-post correlational approaches?
An assessment conducted at the start and at the end of a term, in order to observe changes caused by an intervention.
Define the diff-in-diff approach.
Differences-in-differences: calculate the effect of a treatment (independent variable) on an outcome (dependent variable) by comparing the average change over time in the outcome variable for the treatment group to the average change over time for the control group.
For example, testing minimum wage in Paris, but not in Marseille, and observing the differences between outcomes.
It tries to mitigate the effects of extraneous factors and selection bias. However, it is still subject to biases such as mean regression, reverse causality, and omitted variable bias.
What are the levels of diff-in-diff approaches?
- Post-intervention assessment,
- Pre & post intervention assessment,
- DFD for time trend,
- DFD with follow-up and fade out or maturation,
- DFD with follow-up and concomitant factors,
- Matched-case control study with DFD and follow-up,
- Matched-case control study.
How does the ecological / comparative approach work?
It considers the context of public administration, many different disciplines, and takes a comparative approach across regions and governments.
For example, when studying the impact of urban segregation on employment outcomes of minority groups, we must consider ethnicity, SES, cultural attitudes, sector composition, industrialisation, globalization, GDP per capita, current policies (employment, educational, welfare).
What are the advantages and disadvantages of the ecological / comparative approach?
Advantages: holistic, context, policy
Disadvantages: complex, subjectivity, generalisability, bad data
When are causal inferences impossible?
When there is only distributional information about the data and no information about how the data was generated.
What is the purpose of PIE?
Learn lessons and have accountability
Define independent and dependent variables - and how they interact?
Independent variable are manipulated to affect the dependent variable.
Independent variable: the cause of a change.
Dependent variable: the observation of or the change itself.
Example of variables: gender, nationality, age, income, having a Velib pass, receiving the culture pass.
Define frequency distribution.
A representation that displays the number of observations within a given interval; it shows the frequency of each variable.
Define absolute frequency.
A count of the number of times something has occured.
Define relative frequency.
The number of times something has occurred divided by its frequency.
Define cumulative frequency.
The sum of relative frequencies.
Define bivariate analysis.
A statistical method examining how two different things are related.
What is the Pearson correlation coefficient?
A number between 1 and -1 that indicates the strength and direction of a relationship between two variables.
What is a confounding variable?
A third variable that influences both the independent and dependent variable, causing a spurious association.