Bookmark and Share

Notice: On April 23, 2014, Statalist moved from an email list to a forum, based at statalist.org.


[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

st: Fixed effects or random effects model?


From   sardar ahmad <sahmad81@hotmail.co.uk>
To   Statalist <statalist@hsphsun2.harvard.edu>
Subject   st: Fixed effects or random effects model?
Date   Fri, 6 Jan 2012 15:43:52 +0000

Dear all,
I am a PhD student and want to analyse Panel data. I have just started to learn about panel data analysis, so I apologise if my question is very basic.The data is for 8 years for 280 companies, I used Hausman test to decide whether to use fixed effects or random effects. The test shows that I should use fixed effects. However, I want to include a number of control variables which are constant over time e.g. industry in which a company is operating. As Stata drops such variables from the model, so I was wondering will it be justified to use random effects instead, even if the Hausman test is significant. Or are there any other alternatives?
Many thanks in advance.
Ahmad  		 	   		  
*
*   For searches and help try:
*   http://www.stata.com/help.cgi?search
*   http://www.stata.com/support/statalist/faq
*   http://www.ats.ucla.edu/stat/stata/


© Copyright 1996–2018 StataCorp LLC   |   Terms of use   |   Privacy   |   Contact us   |   Site index