I run panel data regression with cross-sectional fixed effects. After generating the regression results, i also dervied cross-sectional fixed effects for all the companies which are included in the panel data.
How to interpret the cross-sectional fixed effects?
for example cross-sectional fixed effect of company X is 0.675, does it mean that actual intercept of this company is 0.675 units above the common intercept of the panel data regression.
Dear Srikanth
I am sorry, I not really get what do you looking for. Nevertheless, I recently publish my thesis and I apply the same technique "panel data". For you conveniet, I provided link below. I hope you will find it in best of your interest.
Good Luck!
Thesis The European union's technological and economic growth: A st...
You are almost correct. It mean that actual intercept of this company is 0.675 units. However, second part "above the common intercept of the panel data regression." is not correct. There is no common intercept, each company has its individual intercept.
They are cross-section deviations from the overall intercept mean
am working on short panel data, and according to Hausman test the FE model is the appropriate one, but I found that this model suffers from Heteroskedasticty, cross-sectional dependence and autocorrelation. So, the weighted least squares method is the most appropriate method to have efficient estimators. But, I do not know which stata command to use?
Thank you and waiting for your guidance,
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