Let Y1i be the output for factory i when it receives a new machine, and let Y0i be the output for factory i when it does not receive a new machine. Also let Yi be the realized output for factory i and let Di be a binary variable that equals one if factory i actually received a new machine. If the company's headquarters randomly assigns new machines to a subset of the company's factories, this ensures:
A. E(Yi|Di = 0) - E(Yi|Di = 1) = E(Y1i - Y0i)
B. E(Yi|Di = 1) - E(Yi|Di = 0) = E(Y1i - Y0i)
C. E(Yi|Di = 1) = E(Yi|Di = 0)
D. E(Yi|Di = 1) = E(Y1i - Y0i)
Answer: B
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