Hello there
I have a question about the HT test for the use of of FEv/sRE
What would happen if while testing for the more efficient estimator, I
specified Re as robust? Therefore instead of
xtreg depvar indepvar 1........................indepvarn, re
I specify
xtreg depvar indepvar 1........................indepvarn, re robust?
I did this just as a test out of curiosity (without considering the full
implications of this) and I find that the differenc in the two commands
changes the Prob>chi2 dramnatically so that in the former case FE is
appropriate and in the latter RE is appropriate
Any guidance on this would be useful.
Many thanks
Seema
*
* For searches and help try:
* http://www.stata.com/support/faqs/res/findit.html
* http://www.stata.com/support/statalist/faq
* http://www.ats.ucla.edu/stat/stata/
