To explain more, my study is on examining the effect of real earnings mangament on financial perfomance For a panel data.. so I want to run fixed effect, random effect and then hausman test to choose between them.. but I have a problem with the fixed effects model as shown .. so can you please help me?
Dear Engy Ahmed Hassan , probably, stata omits these variables, because you have perfect multicollinearity, which means, that your independent variables can be presented as linear combinations of each other or they are identical. It is hard to say in more detail, since we do not have more specific information about your data.
Dear Angi Skhvediani first thanks for your answer.
second, in this case should I go for generalized least squares method or what should I do?
Dear Engy Ahmed Hassan , it seems to me, that there might be two issues, which you have. First of all, you have, probably, included all industry dummies in your model. I would suggest you just omit one of them from the analysis. Secondy, if you have organized your data, so that industry is your panel, than you should not include your industry dummies into the model. When you use xtreg or other similar procedure in stata, your panel effects are taken into account, so there is no need to include panel dummies into analysis.
You can, also, use this presentation in order to build panel data model in Stata.
https://www.princeton.edu/~otorres/Panel101.pdf
Hi Dear Community,
I hope you all are well
I am running a regression about the effects of covid-19 on malnutrition and hunger in Subsaharan Africa. I am using a panel of macroeconomics data. I included covid as a determinant of malnutrition, but the coefficient I obtained from stata is omitted. Covid takes the value 0 from 2001 to 2019 and the value 1 from 2020 to 2021...
Can you please help me understand why?
Is there any other methodology you would like to suggest?
- Badges
- Science topic
- Similar topics
- Medicine
- Physiology
- Biosignals
- Biomedical Signal Processing
- Statistical Analysis