Optimized Weighted Nearest Neighbours Matching Algorithm for Control Group Selection

An essential criterion for the proper implementation of case-control studies is selecting appropriate case and control groups. In this article, a new simulated annealing-based control group selection method is proposed, which solves the problem of selecting individuals in the control group as a distance optimization task. The proposed algorithm pairs the individuals in the n-dimensional feature space by minimizing the weighted distances between them. The weights of the dimensions are based on the odds ratios calculated from the logistic regression model fitted on the variables describing the probability of membership of the treated group. For finding the optimal pairing of the individuals, simulated annealing is utilized. The effectiveness of the newly proposed Weighted Nearest Neighbours Control Group Selection with Simulated Annealing (WNNSA) algorithm is presented by two Monte Carlo studies. Results show that the WNNSA method can outperform the widely applied greedy propensity score matching method in feature spaces where only a few covariates characterize individuals and the covariates can only take a few values.