Notice: On April 23, 2014, Statalist moved from an email list to a forum, based at statalist.org.
From | Alfonso Sanchez-Penalver <alfonso.statalist@gmail.com> |
To | "statalist@hsphsun2.harvard.edu" <statalist@hsphsun2.harvard.edu> |
Subject | Re: st: specifying the nested design for xtmelogit |
Date | Wed, 6 Nov 2013 18:02:08 -0500 |
Hi Dana, My first impression is that your specification would lead to biased estimates because there are bound to be crossed effects between the firms' effects and the industry effects. I wanted to check my Rabe-Hesketh, Skondral book of Multilevel and Longitudinal Modeling Using Stata (Stata Press) to suggest an appropriate specification but it is at home and I won't get out of the university until late at night. I'll check on this later and get back to you if no-one else has done so before. Best Alfonso Sanchez-Penalver > On Nov 6, 2013, at 12:38 PM, Dana Shills <shills52@hotmail.com> wrote: > > My data is of the following format - I have multiple years of observations on firms in different industries. The industries are defined at a very dis-aggregated level so each firm is not associated with just one industry but with multiple industries and this classification doesn't change over time. For instance: Firm A is associated with 4 different industries and we have three years of data, so there are 12 observations on firm A. My dependent variable, Y, is 0/1 (Did the firm make an announcement in that industry in that year or not). X is a vector of covariates. > > I am using the following nested random effects model accounting for the multiple observations per firm and the multiple firms in each industry. > > xtmelogit Y X ||industry: ||firm: > > Is this correct given that each firm is not just associated with just one industry? > > Thanks > > Dana > * > * For searches and help try: > * http://www.stata.com/help.cgi?search > * http://www.stata.com/support/faqs/resources/statalist-faq/ > * http://www.ats.ucla.edu/stat/stata/ * * For searches and help try: * http://www.stata.com/help.cgi?search * http://www.stata.com/support/faqs/resources/statalist-faq/ * http://www.ats.ucla.edu/stat/stata/