1. In the table below, we have descriptive statistics for the standardized test scores of students in grade 3 for the treatment and control (comparison) groups. These students were randomized in an education program in Year 1. The values for "PRE-TEST" are the average values of the test before the program (i.e., pre-intervention period), and the values for "POST-TEST" are the average values of the test after the intervention (i.e., post-intervention) or the program was rolled. Note, just like the z-scores we have seen in the health chapter, the unit of measurement for these test scores are standard deviations. You can ignore the values that are between parenthesis.

a. Why did the researchers randomize students in treatment and control? Be specific about the value (i.e., importance) of randomization. Maximum length: 4 lines

b.Compute the difference-in-difference effect of this education program for Math and Verbal. Where do you see higher effects? Make sure you show and explain your steps.

Table 3: Summary Statistics, Mumbai PRE TEST POST TEST Treatment Comparison Difference Treatment Comparison Difference (1) (2) (3) (4) (5) (6) Mumbai, Year 1 Grade 3 Math 0.002 0.000 0.002 0.383 0.227 0.156 (0.108) (0.126) Verbal 0.100 0.000 0.100 0.359 0.210 0.149 (0.108) (0.102) Observations 2592 2182 410 2417 2027 390