{smcl} {* *! version 2.0.0 15apr2020}{...} {cmd:help rdcont} {hline} {title:Title} {hi:rdcont} {c -} Approximate sign test for testing continuity of a density at a point {title:Syntax} {p 8 17 2} {cmd:rdcont} {it:running_var} [{opt if}] [{opt in}]{cmd:,} [{it:options}] {synoptset 22 tabbed}{...} {synopthdr} {synoptline} {syntab:{help rdcont##options:Options}} {synopt:{opt alpha(real)}} specifies critical value for calculation of optimal bandwidth {p_end} {synopt:{opt threshold(real)}} specifies cutoff value for the test {p_end} {synopt:{opt q:obs(real)}} specifies # of observations closest to cutoff {p_end} {synoptline} {p2colreset}{...} {title:Description} {pstd} In the regression discontinuity design it is common practice to assess the credibility of the design by testing the continuity of the density of the running variable at the cut-off. {cmd:rdcont} tests this assumption using the non-randomized approximate sign test developed in Bugni and Canay (2020). {p_end} {marker options} {title:Options} {marker options} {dlgtab:Options} {marker alpha}{...} {phang} {opt alpha(real)} specifies a critical value for the calculation of the data dependent rule of thumb for {it:q} proposed in Bugni and Canay (2020), referred to in the paper as q_irot (informed rule of thumb). If left unspecified, the default value is 0.05. Cannot be specified with {opt qobs}. {p_end} {marker threshold}{...} {phang} {opt threshold(real)} specifies the cutoff value (point) at which to test continuity of the density. If left unspecified, the default value is 0. {p_end} {marker qobs}{...} {phang} {opt q:band(real)} specifies the number {it:q} of observations used by the test (those that are closest to the cutoff) rather than using the data dependent rule from Bugni and Canay (2019). Cannot be specified with {opt alpha}. {p_end} {title:Saved Results} {phang} {cmd:rdcont} saves the following in {cmd:r()}:{p_end} {synoptset 15 tabbed}{...} {p2col 5 15 19 2: Scalars}{p_end} {synopt:{cmd:r(q_p)}} Preliminary rule of thumb before optimization stage {p_end} {synopt:{cmd:r(lb)}} Running variable value corresponding to the left bound of the test bandwidth{p_end} {synopt:{cmd:r(ub)}} Running variable value corresponding to the right bound of the test bandwidth{p_end} {synopt:{cmd:r(N_r)}} Number of observations to the right of the threshold{p_end} {synopt:{cmd:r(N_l)}} Number of observations to the left of the threshold{p_end} {synopt:{cmd:r(c)}} Running variable threshold{p_end} {synopt:{cmd:r(q_l)}} Number of observations in the bandwidth to the left of the threshold {p_end} {synopt:{cmd:r(q_r)}} Number of observations in the bandwidth to the right of the threshold {p_end} {synopt:{cmd:r(q)}} Number of observations in the bandwidth{p_end} {synopt:{cmd:r(N)}} Number of observations{p_end} {synopt:{cmd:r(p)}} {it:p}-value corresponding to the approximate sign test{p_end} {p2colreset}{...} {title:Author} {phang} Ivan Canay{p_end} {phang} iacanay@northwestern.edu {p_end} {title:References} {phang} Bugni, Federico A. and Ivan A. Canay. (2020) "Testing Continuity of a Density via {it:g}-order statistics in the Regression Discontinuity Design." {p_end}