Question: 2. In your own words, explain what the identification strategy of difference-in-differences is. What assumption is necessary for a difference-in-difference estimator to be interpreted causally?

2. In your own words, explain what the identification strategy of difference-in-differences is. What assumption is necessary for a difference-in-difference estimator to be interpreted causally? Graphically depict a difference-in-difference design. On your graph, 1 include outcomes for the treatment and control group, the counterfactual outcome for the treatment group, and the estimated treatment effect. 2. In your own words, explain what the identification strategy of difference-in-differences is. What assumption is necessary for a difference-in-difference estimator to be interpreted causally? Graphically depict a difference-in-difference design. On your graph, 1 include outcomes for the treatment and control group, the counterfactual outcome for the treatment group, and the estimated treatment effect

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