Varying Coefficient Mediation Model and Application to Analysis of Behavioral Economics Data

Yujie Liao, Jingyuan Liu, Donna L. Coffman, Runze Li

Research output: Contribution to journalArticlepeer-review

Abstract

This paper is concerned with causal mediation analysis with varying indirect and direct effects. We propose a varying coefficient mediation model, which can also be viewed as an extension of moderation analysis on a causal diagram. We develop a new estimation procedure for the direct and indirect effects based on B-splines. Under mild conditions, rates of convergence and asymptotic distributions of the resulting estimates are established. We further propose a F-type test for the direct effect. We conduct simulation study to examine the finite sample performance of the proposed methodology, and apply the new procedures for empirical analysis of behavioral economics data.

Original languageEnglish (US)
Pages (from-to)1759-1771
Number of pages13
JournalJournal of Business and Economic Statistics
Volume40
Issue number4
DOIs
StatePublished - 2022

All Science Journal Classification (ASJC) codes

  • Statistics and Probability
  • Social Sciences (miscellaneous)
  • Economics and Econometrics
  • Statistics, Probability and Uncertainty

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