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A state raises the minimum wage from 15/hour on July 1, 2024. Researchers use a regression discontinuity design to estimate the policy's effect on employment among low-wage workers. They compare employment levels in the 6 months immediately before and after the policy change. However, they find no significant employment effect. When interviewed, workers report that many employers had already begun planning wage increases months before the policy took effect, and some workers moved between jobs during the transition period. Which statement best describes a limitation of this design?
A state raises the minimum wage from 15/hour on July 1, 2024. Researchers use a regression discontinuity design to estimate the policy's effect on employment among low-wage workers. They compare employment levels in the 6 months immediately before and after the policy change. However, they find no significant employment effect. When interviewed, workers report that many employers had already begun planning wage increases months before the policy took effect, and some workers moved between jobs during the transition period. Which statement best describes a limitation of this design?