* Panel Data Methods - Fixed Effects Estimation * Reference: Chapter 14 of * Jeffrey M. Wooldridge, Introductory Econometrics: A Modern Approach, * South-Western College Publishing, 2000. SAMPLE 1 471 READ (JTRAIN.shd) year fcode employ sales avgsal scrap rework tothrs & union grant d89 d88 totrain hrsemp lscrap lemploy & lsales lrework lhrsemp lscrap_1 grant_1 clscrap cgrant & clemploy clsales lavgsal clavgsal cgrant_1 chrsemp clhrsemp SET MISSVALU=-999 SET SKIPMISS SET NOWARNMISS * Example 14.1 -- Estimation results in Table 14.1, p. 443. SAMPLE 1 471 POOL LSCRAP D88 D89 GRANT GRANT_1 / NCROSS=54 FIXED OLS & COEF=BETA STDERR=SE * Note that GRANT and GRANT_1 are dummy variables for receiving * a grant. The dependent variable is in log form. * An interpretation of the coefficients is discussed in * Peter Kennedy, 1981, "Estimation with Correctly Interpreted Dummy * Variables in Semi-Logarithmic Equations," American Economic Review, * p. 801. * Estimate the percentage impact on the firm scrap rate in 1989 * for obtaining a grant in 1988. GEN1 BG=BETA:4 GEN1 SEG=SE:4 GEN1 P = 100*(EXP(BG - SEG*SEG/2) - 1) PRINT P * Example 14.3 -- Fixed Effects with Unbalanced Panels, pp. 448-449 POOL LSCRAP D88 D89 GRANT GRANT_1 LEMPLOY LSALES / NCROSS=51 FIXED OLS & CSINDEX=FCODE STOP