📝 SummarXiv

Abstract

Causal inference typically assumes centralized access to individual-level data. Yet, in practice, data are often decentralized across multiple sites, making centralization infeasible due to privacy, logistical, or legal constraints. We address this problem by estimating the Average Treatment Effect (ATE) from decentralized observational data via a Federated Learning (FL) approach, allowing inference through the exchange of aggregate statistics rather than individual-level data. We propose a novel method to estimate propensity scores by computing a federated weighted average of local scores with Membership Weights (MW)--probabilities of site membership conditional on covariates--which can be flexibly estimated using parametric or non-parametric classification models. Unlike density ratio weights (DW) from the transportability and generalization literature, which either rely on strong modeling assumptions or cannot be implemented in FL, MW can be estimated using standard FL algorithms and are more robust, as they support flexible, non-parametric models--making them the preferred choice in multi-site settings with strict data-sharing constraints. The resulting propensity scores are used to construct Federated Inverse Propensity Weighting (Fed-IPW) and Augmented IPW (Fed-AIPW) estimators. Unlike meta-analysis methods, which fail when any site violates positivity, our approach leverages heterogeneity in treatment assignment across sites to improve overlap. We show that Fed-IPW and Fed-AIPW perform well under site-level heterogeneity in sample sizes, treatment mechanisms, and covariate distributions. Both theoretical analysis and experiments on simulated and real-world data highlight their advantages over meta-analysis and related methods.