Question: What is a potential limitation of using differences - in - differences analysis in practice? DID analysis assumes that the treatment and control groups are

What is a potential limitation of using differences-in-differences analysis in practice?
DID analysis assumes that the treatment and control groups are identical in all aspects
DID analysis cannot be used with panel data or multiple time periods
DID analysis may be sensitive to the choice of the control group and the validity of the parallel trends assumption
DID analysis is only applicable to experimental settings and cannot be used with observational data

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