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From | "Sun, Yan (IFPRI)" <Y.SUN@CGIAR.ORG> |
To | <statalist@hsphsun2.harvard.edu> |
Subject | st: time trend or year effect for pooled data |
Date | Fri, 12 Mar 2010 10:15:08 -0500 |
Dear Statalist, 1) I have a equation as this: y=a+b1*X1+b2*X2+b3*X3+...+ c*T + error, where a, b, c are coefficients; 2) Y is a couple of dependent variables, which could be binary or continuous; 3) T is a time trend and I use it to capture year effect; 4) My observation is user groups which were visited in different years and I pool them together, treating them as cross-sectional data. My question: how should I treat T? Should I value it as 1, 2, 3, ..., OR just yearly (eg., 1990, 1991, 1992, ....). I run regressions (both Probit and OLS) using both methods, and the regression results give me different coefficients ad t statistics for "T". Could anyone explain why and which method is appropriate for pooled data? Thank you very much for your help. Yan Sun IFPRI * * For searches and help try: * http://www.stata.com/help.cgi?search * http://www.stata.com/support/statalist/faq * http://www.ats.ucla.edu/stat/stata/