  We propose a new, flexible model for inference of the effect of a binary
treatment on a continuous outcome observed over subsequent time periods. The
model allows to seperate association due to endogeneity of treatment selection
from additional longitudinal association of the outcomes and hence unbiased
estimation of dynamic treatment effects.
  We investigate the performance of the proposed method on simulated data and
employ it to reanalyse data on the longitudinal effects of a long maternity
leave
  on mothers' earnings after their return to the labour market.
