Hello,
I am writing a thesis paper on the relationship between Income Inequality and Economic Growth. I want to use Educational Attainment as a control variable, but it does not have values for some years. Specifically, my paper's time span is from 1961 to 2018 and the variable has missing values only for 2 years: 1961 and 1963. Is there gonna be any issues using this variable in the regression, considering the fact that only 2 values are missing?
I don't think so, since you have 50+ observations. If you restrict your data set to start from 1964, you still will have over 50+ observations, which should not be a problem. Alternatively, you can interpolate the missing values, and there are several ways to do that, at the cost of introducing some small measurement errors.
If they are missed at random (and you can assume that in this context), there is no problem. Another solution in this context would be linear interpolation, but I would stick to the former suggestion.
I don't think you'll run into serious problems with this situation. Since it's time series analysis, just denote the missing values with "NA" and proceed with your analysis. Best wishes to you.
Is not a big issue. You can do a linear interpolation using excel or E-views to get the missing values or you can adopt a scope of 1964 to 2018 which is still very okay depending on the background you want to cover. Best wishes
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