To test the effectiveness of two Web advertising agencies, you increase your ad purchase with agency A

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To test the effectiveness of two Web advertising agencies, you increase your ad purchase with agency A by 50% without changing your purchase through agency B. The referrals to your Web site from agency A increased by only 34% but the referrals from agency B fell by 21%. Why might the difference-in-difference estimate of the referrals per dollar through agency A be biased?
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Managerial Economics A Problem Solving Approach

ISBN: 978-1305259331

4th edition

Authors: Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

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