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Double/Debiased Machine Learning for Treatment and Structural Parameters

Victor Chernozhukov, Denis Chetverikov, Mert Demirer, Esther Duflo, Christian Hansen, Whitney Newey, James Robins

Published 16 January 2018 · The Econometrics Journal · Journal article

Summary

The paper develops a general framework for estimating low-dimensional treatment or structural parameters when high-dimensional nuisance components are estimated with machine learning methods. By combining Neyman-orthogonal (debiased) moment conditions with sample-splitting/cross-fitting, the approach removes regularization and overfitting biases. The resulting estimators are root-N consistent, asymptotically normal, and valid for inference despite slowly converging nuisance estimates.

Key findings

  • Neyman orthogonality makes moment conditions insensitive to first-order errors in nuisance estimates.
  • Cross-fitting (sample splitting) eliminates bias from overfitting and weakens entropy/complexity requirements.
  • Delivers root-N consistent, asymptotically normal estimators usable with a wide range of ML learners (lasso, random forests, neural nets, etc.).

Subjects & keywords

Cite this paper

APA

Victor Chernozhukov, Denis Chetverikov, Mert Demirer, Esther Duflo, Christian Hansen, Whitney Newey, & James Robins (2018). Double/Debiased Machine Learning for Treatment and Structural Parameters. The Econometrics Journal. https://doi.org/10.1111/ectj.12097

BibTeX
@article{chernozhukov2018doubledebiased,
  author    = {Victor Chernozhukov and Denis Chetverikov and Mert Demirer and Esther Duflo and Christian Hansen and Whitney Newey and James Robins},
  title     = {Double/Debiased Machine Learning for Treatment and Structural Parameters},
  journal   = {The Econometrics Journal},
  year      = {2018},
  doi       = {10.1111/ectj.12097},
  url       = {https://doi.org/10.1111/ectj.12097}
}

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