Causal Inference for Network Autoregression Model: A Targeted Minimum Loss Estimation Approach
Yong Wu, Shuyuan Wu, Xinwei Sun, Xuening Zhu
[stat.ME]
We study estimation of the average treatment effect (ATE) from a single network in observational settings with interference. The weak cross-unit dependence is modeled via an endogenous peer-effect (network autoregressive) term that induces distance-decaying network dependence, relaxing the common finite-order interference to infinite interference. We propose a targeted minimum loss estimation (TMLE) procedure that removes plug-in bias from an initial estimator. The targeting step yields an adjustment direction that incorporates the network autoregressive structure and assigns heterogeneous, network-dependent weights to units. We find that the asymptotic leading term related to the covariates $\mathbf{X}_i$ can be formulated into a $V$-statistic whose order diverges with the network degrees. A novel limit theory is developed to establish the asymptotic normality under such complex network dependent scenarios. We show that our method can achieve smaller asymptotic variance than existing methods when $\mathbf{X}_i$ is i.i.d. generated and estimated with empirical distribution, and provide theoretical guarantees for estimating the variance. Extensive numerical studies and a live-streaming data analysis are presented to illustrate the advantages of the proposed method.