Run panel data

thdwjdxor — Wed, 08 Mar 2017 16:43:33 GMT

Hello,

I have a general question about running panel OLS model.

Here are the steps I took:

1. check if variables are stationary. (Is this necessary in panel data?)

2. check cointegration.

3. I have Y and X1 that are unit-root and no co-integration, so I first-differenced variables, and they are stationary. (Instead, can I run fixed or random effect?)

4. I ran ranone, and I have Pr>m of 0.56 for Hausman test; I ran ranone, and I have DF=0 / m value=0 / Pr>m= .

Question:

Do I run pooled ols, fixone, fixtwo, ranone, or rantwo?

Ranone suggest using random effect, but I am not sure how to interpret general picture of the analysis.

topic Run panel data in SAS Forecasting and Econometrics

Run panel data