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Why is covariate balance important in randomized experiments?
in Data Science by Diamond (64,350 points) | 34 views

1 Answer

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Best answer

Covariate balance is important in randomized experiments because better balance:

  • Provides more meaningful estimates of the causal effect
  • Increases power, particularly if imbalanced covariates correlated with outcome

You can achieve covariate balance in randomized experiments by:

Option 1: force better balance on important covariates by design –“Block what you can; randomize what you cannot” (George Box) 

  •  stratified randomized experiments
  • paired randomized experiments
  • rerandomization

Option 2: correct imbalance in covariates by analysis

  • outcome: gain scores
  • separate analysis within subgroups
  • covariate adjustment via regression or weighting


by Diamond (64,350 points)

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