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st: Xtregar interpretation
What does it signify if sigma_u (and thus theta and rho_fov) equal 0 in a
random effects xtregar model? In looking at the formula, it seems that this
indicates that the individual level constant is zero. I am unclear what this
signifies from an interpretive (diagnostic) standpoint regarding the model I
am trying to run. This seems to occur as I increase the complexity of the
model and I was wondering if this suggests that some of the terms are
inappropriate to include.
Input will be most appreciated.
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