Question: We will use treat3 to study its effect on water conservation. apr_may_2007 and water_2006 are pre-treatment water use. If treat3=0 it belongs to the control

We will use treat3 to study its effect on water conservation. apr_may_2007 and water_2006 are pre-treatment water use. If treat3=0 it belongs to the control group and if treat3 = 1 it belongs to treatment group.

SUMMARY OUTPUT Regression Statistics Multiple R 0.792734 R Square 0.628427 Adjusted R Sc 0.628359 Standard Err( 16.91863 Observations 16383 ANOVA df SS MS F ignificance F Regression 3 7929194 2643065 9233.735 0 Residual 16379 4688326 286.2401 Total 16382 12617520 Coefficientsandard Err t Stat P-value Lower 95%Upper 95% Intercept 3.030038 0.260438 11.63438 3.65E-31 2.519551 3.540526 apr_may07 0.834094 0.015786 52.8368 0 0.803151 0.865037 treat3 -1.65312 0.276015 -5.98926 2.15E-09 -2.19414 -1.11211 water_2006 0.34964 0.004629 75.53728 0 0.340567 0.358713The formula for estimating the standard error of the average treatment effect is g; = /\\7f(Y,.(0)) + aw, [36, Nm m

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