Robust standard errors are statistical adjustments made to standard errors to account for potential heteroskedasticity or correlation in the residuals of regression models. This method provides more reliable estimates of standard errors, leading to valid hypothesis testing and confidence intervals, especially in observational studies where certain assumptions may not hold. Their use is particularly relevant in propensity score matching contexts, as it helps ensure that the estimated treatment effects are not biased due to unobserved variance in the outcome variable.
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