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<!doctype html>
<html lang="en">
<head>
<meta charset="utf-8">
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<title>ArcGIS for Economics: Lecture 7</title>
<meta name="description" content="ArcGIS for economics researchers">
<meta name="author" content="Masayuki Kudamatsu">
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<body>
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<div class="slides">
<!-- Slide contents start here -->
<!-- My own slide templates -->
<section id="title">
<h3 style="color:slategrey">
Causal Inference with Spatial Data
</h3>
<p style="color:slategrey">
(ArcGIS 10 for Economics Research)
</p>
<h3>
Lecture 7
</h3>
<h2>
Spatial RD Design
</h2>
<br>
<p>Masayuki Kudamatsu</p>
<p>31 August, 2018</p>
<br>
<p>
<small>Press <span style="color:red;">SPACE</span> to proceed. </small>
<br>
<small>To go back to the previous slide, press <span style="color:red;">SHIFT+SPACE</span>. </small>
</p>
</section>
<section id="road_map" style="text-align: left;">
<h3>
Today's road map
</h3>
<p>
1. Econometrics for spatial RD design
</p>
<p>
2. Spatial RD examples
</p>
<p>
3. Geo-processing for spatial RD design
</p>
<p>
4. Calculate 3D polyline length
</p>
</section>
<section>
<section id="section1">
<h1>
1. Econometrics for Spatial RD Design
</h1>
</section>
<section id="" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
What's unique about Spatial RD
</h3>
<p>
Forcing variable: two-dimensional vector (i.e. coordinates)
</p>
<p>
Cutoff: boundary lines
</p>
<p class="fragment" data-fragment-index="1">
$\Rightarrow$ How should we extend the standard RD design?
</p>
</section>
<section id="" data-transition="slide-in fade-out" style="text-align: left;">
<h3 style="text-align: left;">
Spatial RD specification
</h3>
<br>
<p style="text-align: left;">
\begin{align*}
y_{i} = \beta T_{i} + \gamma Dist_i + \delta T_{i} Dist_i + \mu_s + \varepsilon_{i}
\end{align*}
</p>
<br>
<p>
Project coordinates into distance to boundary ($Dist_i$)
</p>
<ul>
<li>
$Dist_i < 0$ for control areas
</li>
</ul>
</section>
<section id="" data-transition="fade-in fade-out" style="text-align: left;">
<h4 style="text-align: left;">
Spatial RD specification (cont.)
</h4>
<br>
<p style="text-align: left;">
\begin{align*}
y_{i} = \beta T_{i} + \gamma Dist_i + \delta T_{i} Dist_i + \mu_s + \varepsilon_{i}
\end{align*}
</p>
<br>
<p style="text-align: left;">
Then use standard RD design w/ <span style="color:red;">boundary segment FE</span> ($\mu_s$)
</p>
<ul style="text-align: left;">
<li>
$i$'s nearest point on boundary $\in$ Segment $s$
</li>
</ul>
</section>
<section id="" data-transition="fade-in slide-out" >
<h4 style="text-align: left;">
Why boundary segment fixed effects?
</h4>
<p style="text-align: left;">
Without it, you would compare point $i$ to $k$ in diagram below
</p>
<img src="gis_lecture7/Keele-Titiunik2014f3.png" style="border: none; background: none; box-shadow:none; width: 500px">
<p>
<small>(Figure 3 of <a href="http://dx.doi.org/10.1093/pan/mpu014" target="_blank">Keele & Titiunik 2014</a>)</small>
</p>
</section>
<section id="treatment_bundle" data-transition="slide-out slide-in" style="text-align: left;">
<h3>
Threats to identification
</h3>
<p>
Treatment boundary tends to overlap with other boundaries
</p>
<ul>
<li>
Municipalities, school districts, electoral districts, etc.
</li>
</ul>
<img src="gis_lecture7/Keele-Titiunik2014f5.png" style="border: none; background: none; box-shadow:none; width: 600px; float: right;">
<p>
$\Rightarrow$ Focus on segments where nothing else overlaps
</p>
<p style="text-align: right;">
<small>(Figure 5 of <a href="http://dx.doi.org/10.1093/pan/mpu014" target="_blank">Keele & Titiunik 2014</a>)</small>
</p>
</section>
<section id="" data-transition="slide-in slide-out" style="text-align: left;">
<h4>Spatial RD example #1</h4>
<h3>
<a href="http://dx.doi.org/10.1093/qje/qjt029" target="_blank">Michalopoulos & Papaioannou (2014)</a>
</h3>
<img src="gis_lecture7/MP2014f3d.png" style="border:none; background:none; box-shadow:none; width:350px; float: right;">
<p>
Ntnl govt quality $\Rightarrow$ development?
</p>
<p>
Look at ethnic homelands split by national boarders in Africa
</p>
<ul>
<li>
Segment FE = Ethnicity FE
</li>
</ul>
<p>
Find no difference in nighttime light across border on average
</p>
<p>
Large heterogeneity across ethnic groups, though
</p>
</section>
<section id="" data-transition="slide-in slide-out" style="text-align: left;">
<h4>Spatial RD example #2</h4>
<h3>
<a href="http://dx.doi.org/10.1016/j.jpubeco.2016.01.007" target="_blank">Berger et al. (2016)</a>
</h3>
<p>
Does higher TV license fees increase evasion in Austria?
</p>
<p>
Exploit differences in fees across states
</p>
<p>
Focus on state borders where covariates are balanced
</p>
<img src="gis_lecture7/BFST2016f1.png" style="border:none; background:none; box-shadow:none; width:550px;">
</section>
</section>
<section>
<section id="section2">
<h1>
2. <a href="http://dx.doi.org/10.3982/ECTA8121" target="_blank">Dell (2010)</a>
</h1>
</section>
<section id="dell1" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
Research question
</h3>
<p>
Does forced labor system during Spanish colonial rule affect todya's living standards in Peru? If so, why?
</p>
<p>
Interesting?
</p>
<ul>
<li>
Yes, if why question is answered
</li>
<li>
Lots of "history matters" papers already out there
</li>
</ul>
<p>
Original?
</p>
<ul>
<li>
Focus on mechanism of long-run effect of history
</li>
<li>
Pioneer in spatial RD design
</li>
<li>
Findings go against well-known Engerman-Sokoloff hypothesis
</li>
</ul>
</section>
<section id="dell2" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
Mita
</h3>
<p>
1573-1812: Spanish colonial rule forced 1/7 of adult male population in parts of Peru & Bolivia to work in the Potosi silver & Huancavelica mercury mines
</p>
<img src="gis_lecture7/figure1.png" style="border:none; background:none; box-shadow:none; width:500px; float: right;">
<p>
Communities subject to mita: clearly defined geographically
</p>
</section>
<section id="dell3a" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
Data for outcomes
</h3>
<p>
Household consumption in 2001
</p>
<p>
Heights of 6-9 years old students
</p>
<p>
Road lengths by districts
</p>
<ul class="fragment" data-fragment-index="1">
<li>
We will learn how to calculate this with elevation taken into consideration
</li>
</ul>
</section>
<section id="dell3b" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
Data for intermediate outcomes
</h3>
<p>
% rural population in hacienda (large land-holding) in 1689, 1845, 1940
</p>
<p>
Education in 1876, 1940, 2001
</p>
<p>
$\Rightarrow$ Allows to identify mechanisms
</p>
</section>
<section id="dell4a" data-transition="slide-in fade-out" style="text-align: left;">
<h3>
Results
</h3>
<p>
Mita areas: worse-off today
</p>
<img src="gis_lecture7/figure2.png" style="border:none; background:none; box-shadow:none; width:800px;">
<p><small>Figure 2 of Dell (2010)</small></p>
</section>
<section id="dell4b" data-transition="fade-in slide-out" style="text-align: left;">
<h4>
Results (cont.)
</h4>
<p>
Mita areas: worse-off today
</p>
<p>
Historically, less educated & <strong>more equal in land holding</strong>
</p>
<p>
$\Rightarrow$ Against the Engerman-Sokoloff hypothesis (see <a href="http://dx.doi.org/10.1257/jep.14.3.217" target="_blank">Sokoloff & Engerman 2000</a>)
</p>
</section>
<!-- <section id="" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
<a href="https://sites.google.com/site/rgonzalezarregoitia/job-market-paper" target="_blank">Gonzalez (2015)</a>
</h3>
<p>
Cellphone coverage $\Rightarrow$ Electoral fraud $\downarrow$ in Afghanistan
</p>
<p>
1000+ polling stations w/i 5km from coverage boundary
</p>
<p>
$\Rightarrow$ Boundary RD approach: feasible
</p>
<img src="gis_lecture7/Gonzalez2015f6.png" style="border:none; background:none; box-shadow:none; width:500px;">
</section> -->
</section>
<!-- Preparation -->
<section>
<section id="preparation1" data-transition="slide-in fade-out" style="text-align: left;">
<h3>
Prepare for the rest of this lecture
</h3>
<p>
1. Launch ArcMap 10 (it takes time)
</p>
<p>
2. <a href="https://www.dropbox.com/s/k0ke5xz1mubouno/Lecture7.zip?dl=1" target="_blank">Download the zipped dataset for Lecture 7</a>
</p>
<p>
3. Save it to <strong>Desktop</strong> (<code>C:\\Users\\<em>yourname</em>\\Desktop</code>)
</p>
<ul style="margin-left: 72px;">
<li>
Don't save in the remote server, which slows down ArcGIS
</li>
</ul>
<p>
4. Right-click it and choose <span style="background-color: Gainsboro">7-Zip > Extract to "Lecture7\"</span>
</p>
<ul style="margin-left: 72px;">
<li>
So the directory path will be: <code>C:\\Users\\<em>yourname</em>\\Desktop\\Lecture7</code>
</li>
</ul>
</section>
<section id="preparation2" data-transition="fade-out fade-in" style="text-align: left;">
<h4>
Prepare for the rest of this lecture (cont.)
</h4>
<p>
Now in ArcMap's <strong>Catalogue Window</strong>:
</p>
<p>
5. Establish connection to data folder
</p>
<ul style="margin-left: 72px;">
<li style="margin-bottom: 5px;">
Right-click <span style="background-color: Gainsboro">Folder Connections</span>
</li>
<li style="margin-bottom: 5px;">
Select <span style="background-color: Gainsboro">Connect to Folder</span>
</li>
<li>
Choose <span style="background-color: Gainsboro">Desktop > Lecture7</span>
</li>
</ul>
<p>
6. Right-click <code>input/w100s10.***.zip</code> and select <span style="background-color: Gainsboro">7-Zip > Extract Here</span>
</p>
<ul style="margin-left: 72px;">
<li>
These four files are SRTM30 data for the area around Peru (cf. <a href="../gis_lecture6.html#elevation-data2" target="_blank">Lecture 6</a>)
</li>
</ul>
</section>
<section id="preparation3" data-transition="slide-out fade-in" style="text-align: left;">
<h4>
Prepare for the rest of this lecture (cont.)
</h4>
<p>
7. Prepare the Model Builder
</p>
<ul style="margin-left: 72px;">
<li>
<a href="../gis_lecture1.html#/modelbuilder1" target="_blank">Create a Model</a>
</li>
<li>
<a href="../gis_lecture1.html#/modelbuilder3" target="_blank">Save it</a> as <code>code/models.tbx/exercises1-3</code>
</li>
<li>
Repeat for another model called <code>exercise4</code>
</li>
</ul>
</section>
</section>
<section>
<section id="coordinate_system" data-transition="slide-in fade-out" style="text-align: left;">
<h3>
Coordinate system for Lecture 7 data
</h3>
<p>
Now browse data in the <code>input/</code> folder
</p>
<p>
What coordinate system do they use? (cf. <a href="../gis_lecture1.html#check_cs" target="_blank">Lecture 1</a>)
</p>
</section>
<section id="coordinate_system2" data-transition="slide-out fade-in" style="text-align: left;">
<h4>
Coordinate system for Lecture 7 data (cont.)
</h4>
<p>
It's UTM Zone 18S (cf. <a href="../gis_lecture3.html#what_is_utm1" target="_blank">Lecture 3</a>)
</p>
<p>
$\Rightarrow$ Calculation of surface area and distance is straightforward
</p>
<p class="fragment" data-fragment-index="1">
Always pay attention to the coordinate system of the spatial data you use
</p>
</section>
</section>
<!-- SECTION for ArcMap -->
<section>
<section id="section3">
<h1>
3. Geo-processing for Spatial RD Design
</h1>
</section>
<section id="ordered_list" data-transition="slide-in slide-out" style="text-align: left;">
<h3>
Spatial RD Design Data Generation
</h3>
<p>
1. Attach treatment indicator to district polygons
</p>
<p>
2. Treatment boundary polylines
</p>
<p>
3. Boundary segment indicator & Distance to boundary
</p>
<p>
4. Visualize spatial RD plots
</p>
</section>
<section id="ex1inputs" data-transition="slide-in fade-out" style="text-align: left;">
<h4>
Exercise #1
</h4>
<h3>
Attach mita district indicator
</h3>
<p>
Inputs:
</p>
<p>
1. District polygons (<code>StudyDistricts.shp</code>)
</p>
<ul>
<li>
District ID: dist_id
</li>
</ul>
<p>
2. List of mita districts (<code>districts.txt</code>)
</p>
<ul>
<li>
District ID: dist_id
</li>
<li>
Mita indicator: mita
</li>
</ul>
</section>
<section id="ex1tools" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #1 (cont.)
</h4>
<p>
Geo-processing tools to be used for this exercise:
</p>
<p>
1. Table to Table
</p>
<ul style="margin-left: 72px;">
<li>
Convert the table in text format into dBASE
</li>
<li>
Otherwise Join Field does not work
</li>
</ul>
<p>
2. Copy Features + Join Field
</p>
<ul style="margin-left: 72px;">
<li>
Attach mita indicator to district polygons
</li>
<li>
cf. <a href="../gis_lecture6.html#/ex4step1" target="_blank">Lecture 6 Exercise 4 Step 1</a>
</li>
</ul>
</section>
<section id="ex1table2table" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #1: Step 1
</h4>
<h3>
Table to Table
</h3>
<p>
<strong>Input Rows</strong>: <code>...\Lecture7\input\districts.txt</code>
</p>
<p>
<strong>Output Location</strong>: <code>...\Lecture7\temporary</code>
</p>
<ul>
<li>
Directory in which the output table is saved
</li>
</ul>
<p>
<strong>Output Table</strong>: <code>districts.dbf</code>
</p>
<p>
<strong>Expression</strong>: leave it blank
</p>
<ul>
<li>
Can be used to keep only some rows
</li>
</ul>
<p>
<strong>Field Map</strong>: leave as it is
</p>
</section>
<section id="ex1copy_features" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #1: Step 2
</h4>
<h3>
Copy Features
</h3>
<p>
<strong>Input Features</strong>: <code>...\Lecture7\input\StudyDistricts.shp</code>
</p>
<p>
<strong>Output Feature Class</strong>: <code>...\Lecture7\temporary\mita_districts.shp</code>
</p>
<p>
Do not name the output as <code>districts.shp</code>
</p>
<ul>
<li>
Its attribute table will have the same file name as the output from Table to Table
</li>
</ul>
</section>
<section id="ex1join_field" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #1: Step 2
</h4>
<h3>
Join Field
</h3>
<p>
<strong>Input Table</strong>: mita_districts.shp
</p>
<ul>
<li>
Output from Copy Features
</li>
</ul>
<p>
<strong>Input Join Field</strong>: dist_id
</p>
<p>
<strong>Join Table</strong>: districts.dbf
</p>
<ul>
<li>
Output from Table To Table
</li>
</ul>
<p>
<strong>Output Join Field</strong>: dist_id
</p>
<p>
<strong>Join Fields</strong>: mita
</p>
</section>
<section id="ex1final" data-transition="fade-in slide-out" style="text-align: left;">
<h4>
Exercise #1 (cont.)
</h4>
<p>
Now <em>save and</em> run the Model.
</p>
<p>
Browse the attribute table of the output
</p>
<p>
Is everything as expected?
</p>
</section>
<section id="ex2tools" data-transition="slide-in fade-out" style="text-align: left;">
<h4>
Exercise #2
</h4>
<h3>
Mita boundary polyline
</h3>
<p>
Geoprocessing tools:
</p>
<p>
1. Dissolve
</p>
<ul>
<li>
Create mita area polygon and non-mita area polygon
</li>
</ul>
<p>
2. Polygon To Line + Select
</p>
<ul>
<li>
Convert polygons to their boundary polylines
</li>
<li>
Then keep those tangent on the other polygons
</li>
</ul>
</section>
` <section id="polygon2line" data-transition="fade-out fade-in" style="text-align: left">
<h3>
Polygon To Line
</h3>
<p>
<small>(Image taken from <a href="http://desktop.arcgis.com/en/arcmap/latest/tools/data-management-toolbox/polygon-to-line.htm" target="_blank">
ArcGIS Help on Polygon To Line</a>) </small>
<img src="gis_lecture7/polygon2line.png" style="border: none; background: none; box-shadow:none; width: 800px;">
</p>
<p>
For treatment boundary polylines
</p>
<p>
$\Rightarrow$ LEFT_FID $\neq$ -1
</p>
</section>
<section id="ex2dissolve" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #2: Step 1
</h4>
<h3>
Dissolve
</h3>
<p>
<strong>Input Features</strong>: mita_districts.shp (2)
</p>
<ul>
<li>
Output from Join Field
</li>
</ul>
<p>
<strong>Output Feature Class</strong>: <code>...\Lecture7\temporary\mita_area.shp</code>
</p>
<p>
<strong>Dissolve_Field(s)</strong>: mita
</p>
<p>
Check "<strong>Create multipart features</strong>"
</p>
<p>
Now run the model and see how the output looks like
</p>
</section>
<section id="ex2polygon2line" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #2: Step 2
</h4>
<h3>
Polygon To Line
</h3>
<p>
<strong>Input Features</strong>: mita_area.shp
</p>
<ul>
<li>
Output from Dissolve
</li>
</ul>
<p>
<strong>Output Feature Class</strong>: <code>...\Lecture7\temporary\polygon2line.shp</code>
</p>
<p>
<span style="color:red;">Check</span> "<strong>Identify and store polygon neighboring information</strong>"
</p>
<ul>
<li>
If unchecked, each polygon becomes one polyline
</li>
</ul>
<p>
Now run the model and see how the output looks like
</p>
</section>
<section id="ex2select" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #2: Step 3
</h4>
<h3>
Select
</h3>
<p>
<strong>Input Features</strong>: polygon2line.shp
</p>
<ul>
<li>
Output from Polyline To Line
</li>
</ul>
<p>
<strong>Output Feature Class</strong>: <code>...\Lecture7\temporary\boundary.shp</code>
</p>
<p>
<strong>Expression</strong>: <span style="font-size:1.5em;">"LEFT_FID" <> -1</span>
</p>
<ul>
<li>
Enclose field name with " "
</li>
<li>
<> means not equal to
</li>
</ul>
<p>
Now run the model and see how the output looks like
</p>
</section>
<section id="ex2alternative" data-transition="fade-in slide-out" style="text-align: left">
<h4>
Exercise #2 (cont.)
</h4>
<h3>
Alternative solution
</h3>
<p>
1. Select with "mita" = 1
</p>
<ul>
<li>
Create a mita area polygon
</li>
</ul>
<p>
2. Select with "mita" = 0
</p>
<ul>
<li>
Create a non-mita area polygon
</li>
</ul>
<p>
3. Intersect with <span style="color:red;">output type LINE</a>
</p>
<ul>
<li>
Intersection of the two polygons will be kept as a polyline
</li>
<li>
With output type INPUT, no feature will be created
</li>
</ul>
</section>
<section id="distance2boundary" data-transition="fade-out slide-in" style="text-align: left">
<h3>
Distance to boundary
</h3>
<p>
Can now be calculated by Near tool with the boundary polyline as near feature
</p>
<ul>
<li>
cf. <a href="../gis_lecture4.html#/ex1near1" target="_blank">Lecture 4 Exercise 1 Step 2</a>
</li>
</ul>
<p class="fragment" data-fragment-index="1">
But we also need "boundary segment fixed effects that denote
which of <span style="color:red;">four equal length segments of the boundary</span> is the closest to the observation’s district capital" (Dell 2010, p. 1870)
</p>
<p class="fragment" data-fragment-index="2">
$\Rightarrow$ Split each boundary line by half
</p>
</section>
<section id="ex3tools" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #3: Overview
</h4>
<h3>
Bounday segment fixed effects
</h3>
<p>
Geo-processing tools:
</p>
<p>
1. Unsplit Line
</p>
<ul style="margin-left: 72px;">
<li>
Convert each boundary into one polyline
</li>
<li>
Necessary because Polygon To Line fails to create one polyline for the southern boundary...
</li>
</ul>
<p>
2. Add Field + Calculate Field (cf. <a href="../gis_lecture5.html#unique_id2" target="_blank">Lecture 5</a>)
</p>
<ul style="margin-left: 72px;">
<li>
Add midpoint coordinates
</li>
</ul>
</section>
<section id="ex3tools2" data-transition="fade-in slide-out" style="text-align: left;">
<h4>
Exercise #3: Overview (cont.)
</h4>
<p>
3. Make XY Event Layer + Copy Features
</p>
<ul style="margin-left: 72px;">
<li>
Create midpoint point features
</li>
</ul>
<p>
4. Split Line at Point
</p>
<ul style="margin-left: 72px;">
<li>
Divide each boundary at midpoint
</li>
</ul>
<p>
5. Copy Features + Near (w/ district capitals as input)
</p>
<ul style="margin-left: 72px;">
<li>
Attach boundary segment indicator
</li>
<li>
Calculate distance to boundary
</li>
</ul>
</section>
<section id="ex3unsplit" data-transition="slide-in slide-out" style="text-align: left;">
<h4>
Exercise #3: Step 1
</h4>
<h3>
Unsplit Line
</h3>
<p>
<strong>Input Features</strong>: boundary.shp
</p>
<ul>
<li>
Output from Select
</li>
</ul>
<p>
<strong>Output Feature Class</strong>: <code>...\Lecture7\temporary\boundary_unsplit.shp</code>
</p>
<p>
Now run the model and see how the output looks like
</p>
</section>
<section id="ex3midpoint_xy" data-transition="slide-in fade-out" style="text-align: left;">
<h4>
Exercise #3: Step 2
</h4>
<h3>
Midpoint coordinates
</h3>
<p>
We will add two new fields
</p>
<ul>
<li>
One for midpoint longitude
</li>
<li>
The other for midpoint latitude
</li>
</ul>
<p>
$\Rightarrow$ Use Add Field + Calculate Field twice
</p>
</section>
<section id="ex3add_field" data-transition="fade-in fade-out" style="text-align: left;">
<h4>
Exercise #3: Step 2 (cont.)
</h4>
<h3>
Add Field
</h3>
<p>
<strong>Input Table</strong>: boundary_unsplit.shp
</p>
<p>
<strong>Field Name</strong>: midpoint_X / midpoint_Y
</p>
<ul>
<li>