Given the following panel data model Y#= Bo + B1X +a, + u %3D which of the followings is(are) correct? Yanıtınız: O a, refers observable fixed effects while u, refers to unobservable fixed effects. a, and u, are both unobservable. We cannot estimate B, if Xp is time varying. O We cannot estimate the model if some individuals are dropped from the data.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter14: Data Mining
Section14.2: Classification Methods
Problem 11P
icon
Related questions
Question
Given the following panel data model
Y = Bo + B1X + a; + U
which of the followings is(are) correct?
Yanıtınız:
a, refers observable fixed effects while u, refers to unobservable fixed effects.
a, and u are both unobservable.
We cannot estimate B, if X, is time varying.
O We cannot estimate the model if some individuals are dropped from the data.
Transcribed Image Text:Given the following panel data model Y = Bo + B1X + a; + U which of the followings is(are) correct? Yanıtınız: a, refers observable fixed effects while u, refers to unobservable fixed effects. a, and u are both unobservable. We cannot estimate B, if X, is time varying. O We cannot estimate the model if some individuals are dropped from the data.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer