Researchers from University of Washington Discuss Findings in Healthcare Economics (2SLS versus 2SRI: Appropriate methods for rare outcomes and/or…

Researchers from University of Washington Discuss Findings in Healthcare Economics (2SLS versus 2SRI: Appropriate methods for rare outcomes and/or rare exposures)

By a News Reporter-Staff News Editor at Health & Medicine Week -- Current study results on Economics - Healthcare Economics have been published. According to news reporting out of Seattle, Washington, by NewsRx editors, research stated, "This study used Monte Carlo simulations to examine the ability of the two-stage least squares (2SLS) estimator and two-stage residual inclusion (2SRI) estimators with varying forms of residuals to estimate the local average and population average treatment effect parameters in models with binary outcome, endogenous binary treatment, and single binary instrument."

Funders for this research include National Institute of Nursing Research, Office of Research on Women's Health (see also Economics - Healthcare Economics).

Our news journalists obtained a quote from the research from the University of Washington, "The rarity of the outcome and the treatment was varied across simulation scenarios. Results showed that 2SLS generated consistent estimates of the local average treatment effects (LATE) and biased estimates of the average treatment effects (ATE) across all scenarios. 2SRI approaches, in general, produced biased estimates of both LATE and ATE under all scenarios. 2SRI using generalized residuals minimized the bias in ATE estimates."

According to the news editors, the research concluded: "Use of 2SLS and 2SRI is illustrated in an empirical application estimating the effects of long-term care insurance on a variety of binary health care utilization outcomes among the near-elderly using the Health and Retirement Study."

For more information on this research see: 2SLS versus 2SRI: Appropriate methods for rare outcomes and/or rare exposures. Health Economics, 2018;27(6):937-955. Health Economics can be contacted at: Wiley, 111 River St, Hoboken 07030-5774, NJ, USA. (Wiley-Blackwell - www.wiley.com/; Health Economics - onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-1050)

Our news journalists report that additional information may be obtained by contacting A. Basu, University of Washington, Dept. of Hlth Serv & Econ, Comparat Hlth Outcomes Policy & Econ CHOICE, Seattle, WA 98195, United States. Additional authors for this research include N.B. Coe and C.G. Chapman.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1002/hec.3647. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

Keywords for this news article include: Seattle, Washington, United States, North and Central America, Healthcare Economics, Economics, University of Washington.

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