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st: Clustering residuals


From   Anita Sayal <anitasayal@yahoo.com>
To   statalist@hsphsun2.harvard.edu
Subject   st: Clustering residuals
Date   Sun, 18 Nov 2007 02:13:31 -0800 (PST)

Dear collegues,

When do you require residuals to be clustered in
regressions? How do you go about doing it in Stata?

For example I run pooled OLS for biateral country-pair
regression. Should I suspect residuals for i and j may
be correlated..Or is it routine to assume such
correlation in pooled estimations?

Thanks 
Anita


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