xtreg ln_wage grade age, fe estimates store fixed xtreg ln_wage grade age, re estimates store random hausman fixed random Use code with caution. , use . 5. Advanced Panel Data Techniques 5.1. Dynamic Panel Data (GMM)
Perform Hausman test hausman fe re
: If your data is in "wide" format (one row per entity with multiple columns for different years), use the reshape long Declaration : You must tell Stata the data is a panel using the xtset panelvar timevar xtset country year 2. Descriptive Reporting stata panel data
Stata natively handles unbalanced panels in most estimation commands, but recognizing the structure helps prevent biased sample selections. 2. Descriptive Statistics for Panel Data
Note: In Stata's xtreg , typing vce(robust) automatically defaults to clustered standard errors by panel variable. xtreg ln_wage grade age, fe estimates store fixed
When standard static assumptions fail—due to endogeneity, reverse causality, or time dynamics—Stata offers sophisticated architectural estimators. Heteroskedasticity and Autocorrelation Adjustment
Pooled Ordinary Least Squares treats panel data as one large cross-section, ignoring the time and individual dimensions. regress y x1 x2 x3 Use code with caution. Advanced Panel Data Techniques 5
panel variable: idcode (unbalanced) time variable: year, 68 to 88, but with gaps delta: 1 year