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Re: st: Computing stats for fixed effects model after xtreg, fe


From   David Greenberg <[email protected]>
To   [email protected], [email protected]
Subject   Re: st: Computing stats for fixed effects model after xtreg, fe
Date   Sun, 15 Apr 2012 18:06:45 -0400

Your Stata output will give you this information; you don't need to
ask for it. David Greenberg, Sociology Department, NYU

On Sun, Apr 15, 2012 at 4:16 PM, Daniela Stockmann <[email protected]> wrote:
> I have just read a very helpful paper by Tom Clark and Drew Linzer, entitled "Should I Use Fixed or Random Effects?" The authors recommend to first fit a fixed effects model and to then compute the correlation between the estimated unit effects and the within-unit means of the independent variable. Do you have any suggestions about how to compute this correlation in STATA after xtreg, fe?
>
> The unit effect captures the amount by which predictions of the dependent variable in a unit (panel) must be adjusted upward or downward, given knowledge only of the independent variables.
>
> -- danie
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