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st: RE: xtoverid output

From   "Martin Weiss" <>
To   <>
Subject   st: RE: xtoverid output
Date   Wed, 5 Nov 2008 14:45:41 +0100

Well, it signals the "overwhelming rejection" of the null. So your problem
reduces to

a) finding the null
b) given success in a), interpreting what this implies for your underlying
research question.

BTW, most of the time a) is pretty easy, but a surprising number of people
go wrong in b) :-)


-----Original Message-----
[] On Behalf Of Fardad Zand
Sent: Wednesday, November 05, 2008 2:42 PM
Subject: st: xtoverid output

Hi all,

if you get a p-value of 0.00 from xtoverid after running a xtreg, re,
does it mean that the RE is biased and that FE should be employed?

Thank you so much for your help,
ir. Fardad Zand
Researcher & PhD Candidate
MSc Management of Technology

Department of Economics & Management of Innovation
Faculty of Technology, Policy & Management
Delft University of Technology

Kruisstraat 30
2611 MJ Delft
the Netherlands

Office: +31 15 278 42 73 (room C0.060)
Mobile: +316 54 31 57 97
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