This dissertation discusses and advances the econometric methods in the field of causal inference with panel data. In particular, I improve difference-in-differences (DiD) type of methods in multiple aspects. Being one of the most commonly used empirical strategy, researchers in all fields apply these methods to answer questions such as “what is the effect of a labor market interventions on earnings?”, ”to what extent do changes in the school leaving age affect study choices?” or ”by how much have the policy instruments of the clean-air-act reduced emissions of greenhouse gases?”. The three chapters of this dissertation address issues that naturally arise in these applications.