On the Relationship between ANOVA Main Effects and Average Treatment Effects
In unbalanced designs, there is a controversy about which ANOVA type of sums of squares should be used for testing main effects and whether main effects should be considered at all in the presence of interactions. Looking at this problem from a causal inference perspective, we show in which designs and under which conditions the ANOVA main effects correspond to average treatment effects as defined in the causal inference literature. We consider balanced, proportional and nonorthogonal designs, and models with and without interactions. In balanced designs, main effects obtained by type I, II, and III sums of squares all correspond to the average treatment effect. This is also true for proportional designs except for ANOVA type III which leads to bias if there are interactions. In nonorthogonal designs, ANOVA type I is always highly biased and ANOVA type II and III are biased if there are interactions. In a simulation study, we confirm our theoretical results and examine the severity of bias under different conditions.