Question: For the specification tests of Section 18.4 explain why the regression test for homogeneous treatment effects includes only N2 1 interaction dummy variables rather than

For the specification tests of Section 18.4 explain why the regression test for homogeneous treatment effects includes only N2 ¡1 interaction dummy variables rather than all N2 interaction dummies. Also explain why the regression test for equal control effects includes only N1 ¡1 interaction dummy variables rather than all N1 interaction dummies.

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