Empirical researchers may wonder whether or not a two-way fixed effects estimator (with individual and period fixed effects) is sufficiently sophisticated to isolate the influence of common shocks on the estimation of slope coefficients. If it is not, practitioners need to run the so-called panel...
We propose another estimator that solves this issue. In the two applications we revisit, it is significantly different from the linear regression estimator.关键词: FIXED effects model ESTIMATION theory REGRESSION analysis CAUSATION (Philosophy) ANALYSIS of variance ...
The limiting null distribution of the usual F statistic for main effects in the two-way layout is shown to have the same limiting distribution when applied to ranks and scores based on ranks as when applied to normal data. The limit is taken as the cell size N increases without bound. ...
For a class of partitioned mixed-effects linear model, a reduced model is introduced in order to obtain the best feasible linear unbiased estimator of a sub-vector of fixed effects. 研究一类分块混合效应模型中部分固定效应向量的估计问题 ,为得到其可行的最佳线性无偏估计 ,提出了一种减约模型 ,并...
I establish the equivalence between the two-way fixed effects (TWFE) estimator and an estimator obtained from a pooled ordinary least squares regression that includes unit-specific time averages and time-period specific cross-sectional averages, which I call the two-way Mundlak (TWM) regression...
We generated constant, heterogeneous, and dynamic effects and calculated bias, mean squared error, and confidence interval coverage of each estimator across 1000 iterations. Results: Two-way fixed effects estimated that Medicaid expansion increased the risk of preterm birth (risk difference [RD], 0.12...
difference-in-differencescorrelated random effectsI establish the equivalence between the two-way fixed effects (TWFE) estimator and an estimator obtained from a pooled ordinary least squares regression that inSocial Science Electronic Publishing
Both fixed effects are concentrated out of the model via locally smoothed two-dimensional within transformation. Simulations show that the estimator performs well in finite samples. We also showcase its practical usefulness by revisiting the role of management as a factor of production....
Two-Way Fixed Effects, the Two-Way Mundlak Regression, and Difference-in-Differences Estimators I establish the equivalence between the two-way fixed effects (TWFE) estimator and an estimator obtained from a pooled ordinary least squares regression that includes unit-specific time averages and time...
We study linear regressions with period and group fixed effects, with several treatment variables. We show that under a parallel trends assumption, the coefficient of each treatment identifies the sum of two terms. The first term is a weighted sum of the average effect of that treatment in each...