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Extending differences-in-differences frameworks to Granger equations: evidence from cutback management during three recessions
International Journal of Public Sector Management ( IF 2.5 ) Pub Date : 2021-07-05 , DOI: 10.1108/ijpsm-09-2020-0257
Christian Buerger 1 , Riley M. Sandel 2 , Vincent Reitano 3 , Michelle L. Lofton 4 , Peter Jones 5
Affiliation  

Purpose

The authors show how to extend difference-in-differences (DiD) frameworks to Granger (1969) equations, a technique that tests for the parallel trends assumption and measures changes in effect sizes over time. To illustrate how these equations work, they apply them to state cutback management decisions in three recessions.

Design/methodology/approach

This study applies quantitative methods. The authors estimate DiD frameworks as Granger (1969) equations.

Findings

After empirically analyzing recessions that started in 1990, 2001 and 2007, the authors find that states deepen expenditure cuts when economic declines lengthen and tend to make large cuts to specific expenditure categories instead of spreading cuts equally over all service areas.

Originality/value

The authors offer two contributions of methodological value. First, they introduce the estimation of Granger equations to the study of topics in public administration. Second, they show how this technique helps to evaluate the impact of economic declines on state spending. By instituting these contributions, they offer a unique way of analyzing cutback management decisions.



中文翻译:

将差异中的差异框架扩展到格兰杰方程:来自三次衰退期间削减管理的证据

目的

作者展示了如何将差异中的差异 (DiD) 框架扩展到 Granger (1969) 方程,这是一种测试平行趋势假设并测量效应大小随时间变化的技术。为了说明这些等式是如何运作的,他们将它们应用于三个经济衰退中的州削减管理决策。

设计/方法/方法

本研究采用定量方法。作者将 DiD 框架估计为 Granger (1969) 方程。

发现

在对 1990 年、2001 年和 2007 年开始的衰退进行实证分析后,作者发现,当经济衰退时间延长时,各州会深化支出削减,并且倾向于对特定支出类别进行大幅削减,而不是在所有服务领域平均分配削减。

原创性/价值

作者提供了两个方法论价值的贡献。首先,他们将格兰杰方程的估计引入到公共管理主题的研究中。其次,他们展示了这种技术如何帮助评估经济衰退对国家支出的影响。通过建立这些贡献,它们提供了一种分析削减管理决策的独特方式。

更新日期:2021-07-05
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