Can I do a panel data analysis considering seasonally adjusted and unadjusted variables together?

12 October 2019 1 9K Report

I want to estimate a money demand function using panel data. I have found that, among the collected data, most of the variables are seasonally unadjusted while one/two variable(s) are seasonally adjusted. Now can I run panel data without any prior adjustment of the variables? Thanks in advance.

Ted R Miller

One easy approach: in your regression, include season and cross-products of season with the variables that are not seasonally adjusted.

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