Causal inference · Module 3: Getting an answer: study designs

When neighbours matter

What is interference, or spillover, in causal inference?

3.5 · 2 min 49 s · published

Interference is when one unit’s treatment changes another unit’s outcome, and on farms it happens all the time: pests, pollinators, spray drift, water and disease don’t stop at the hedge. Bt maize cut European corn borer numbers across whole regions, so growers of ordinary maize benefited too, and comparing Bt with non-Bt fields there would underestimate Bt’s effect.

Key points

  • Almost every method assumes one farm’s treatment doesn’t change another farm’s outcome.
  • A 2010 study estimated that a large share of Bt maize’s economic benefit went to growers who never planted it.
  • In New Zealand, farmer group members had 1.81 times the odds of adopting good nutrient management, with neighbours built into the analysis.
  • Draw spillovers on the map, then randomise whole areas, use buffer strips or measure the spillover directly.

Chapters

  1. 0:00 Recap: the line
  2. 0:17 A quiet assumption
  3. 0:38 The borer that left
  4. 1:17 Ideas spill over too
  5. 1:55 Designing around it

Key terms

Spillover (interference)
When one unit’s treatment changes another unit’s outcome. On farms, pests, pollinators, spray drift, water, disease and ideas cross the hedge: Bt maize cut corn borer numbers for neighbours who never planted it. Spillovers can be designed around with whole-area randomisation and buffer strips, or measured directly.
Propensity score
A unit’s probability of being treated, given everything measured about it. Paul Rosenbaum and Donald Rubin showed in 1983 that units with the same score are, on average, balanced on all those characteristics at once, so you can match or weight on one number instead of many. It balances only what was measured.

Transcript

Last time's quick check: only units just either side of the line are comparable. Further away, they differ in other ways too. Almost every method so far makes a quiet assumption: one farm's treatment doesn't change another farm's outcome. When that assumption breaks, statisticians call it interference. On farms, it breaks all the time.

Pests, pollinators, spray drift, water and disease don't stop at the hedge. In the US Corn Belt, farmers who planted Bt maize, bred to resist the European corn borer, didn't only protect their own fields. Across whole regions, borer numbers fell, and farmers growing ordinary maize benefited too. A 2010 study estimated that a large share of the economic benefit went to growers who never planted Bt maize.

Now imagine comparing Bt and non-Bt fields in that region. You'd underestimate Bt's effect, because the comparison fields were partly treated too. A benefit that leaks across a boundary is called a spillover. Spillovers aren't only biological. In New Zealand, a study asked whether joining a farmer group made dairy farmers more likely to adopt good nutrient management. Farmers talk to their neighbours, so the researchers built neighbours' choices into a spatial version of propensity-score matching.

Group members had 1.81 times the odds of adopting nutrient management compared with similar non-members. Odds, not probabilities, and unmeasured differences between farmers could still play a part. But leaving out the neighbours would have told the wrong story. So what do you do? First, draw it on the map: an arrow from one farm's treatment to its neighbour's outcome.

Then design around it. Randomise whole areas instead of single fields. Leave buffer strips between treated and untreated plots. Or measure the spillover directly, because sometimes it's the most valuable part of the answer. Next: two famous cases where observational data pointed the wrong way, and how to stop it happening again.

Questions

How do you design a field trial around spillovers?

First draw the spillover on the map, as an arrow from one farm’s treatment to its neighbour’s outcome. Then randomise whole areas instead of single fields, leave buffer strips between treated and untreated plots, or measure the spillover directly, because sometimes it’s the most valuable part of the answer.

Do spillovers only travel through pests and plants?

No. In New Zealand, a study asked whether joining a farmer group made dairy farmers more likely to adopt good nutrient management. Because farmers talk to their neighbours, the researchers built neighbours’ choices into a spatial version of propensity-score matching. Leaving the neighbours out would have told the wrong story.

Sources

  1. Hutchison, W.D., Burkness, E.C., Mitchell, P.D. et al. (2010). Areawide suppression of European corn borer with Bt maize reaps savings to non-Bt maize growers. Science, 330(6001), 222–225. doi:10.1126/science.1190242
  2. Yang, W. and Wang, L. (2023). Impact of farmer group participation on the adoption of sustainable farming practices: spatial analysis of New Zealand dairy farmers. Annals of Public and Cooperative Economics, 94(3), 701–717. doi:10.1111/apce.12404

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