Fixed effects, random effects or Hausman–Taylor?

Baltagi, Badi H.; Bresson, Georges; Pirotte, Alain

doi:10.1016/s0165-1765(03)00007-7

Cited by 283 publications

(227 citation statements)

References 7 publications

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“…Instead of OLS, we therefore use the Hausman & Taylor (1981) estimator which takes into account the panel structure of the data. Our model selection process follows Baltagi, Bresson, and Pirotte (2003) in using the Hausman (1978) test to select between alternative panel data estimators. First, we perform a Hausman test comparing the fixed and random effects estimators.…”

Section: Methodsmentioning

confidence: 99%

Does price matter? Overseas students in UK higher education

Soo

Elliott

2010

Economics of Education Review

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a b s t r a c tThis paper explores the determinants of the choice of UK universities by overseas undergraduate applicants. We use data on overseas applicants in Business Studies and Engineering from 2002 to 2007, to 97 UK universities. Estimating using a Hausman-Taylor model to control for the possible correlation between our explanatory variables and unobservable university-level effects, we find that the fees charged may influence the application decision of some students, but that any relationship between levels of fees and applications is non-linear. The quality of education provided is positively and significantly related to the number of applications. Proximity to London and the existing popularity of a university among home applicants, are also significant predictors of university applications.

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Section: Methodsmentioning

confidence: 99%

Does price matter? Overseas students in UK higher education

Soo

Elliott

2010

Economics of Education Review

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“…Baltagi, Bresson and Pirotte (2003) emphasized that most applications in economics since the 1980s have made the choice between the RE and FE estimators based upon the standard Hausman test. The authors suggest that if this standard Hausman test rejects the null hypothesis that the conditional mean of the disturbances given the regressors is zero, the applied researcher reports the FE estimator, otherwise, the researcher reports the RE estimator.…”

Section: Estimation Strategymentioning

confidence: 99%

Determinants of Lending Interest Rates of Nepalese Commercial Banks

Bhattarai

2017

Econ J Dev Issues

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“…As a consequence, a treatment of the individual effects has to be incorporated into the model in order to capture county-specific heterogeneity that may bias the coefficient estimates. Either fixed effects or random effects can be incorporated to account for spatial heterogeneities and stable unobservable characteristics associated with individual counties [45,46]. Assuming that the random error term in Equation (1) has two separate components, the resulting model can be specified as…”

Section: Empirical Models and Variable Specificationsmentioning

confidence: 99%

Urbanization and the Change of Fertilizer Use Intensity for Agricultural Production in Henan Province

Jiang

2016

Sustainability

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China's urbanization has resulted in significant changes in agricultural land use. However, understanding of the linkages between urbanization and fertilizer use intensity is limited. Using county-level panel data for Henan Province, 1995Province, -2008 and panel econometric models, we investigate the impact of urbanization and other socioeconomic factors on fertilizer use intensity, with a focus on the two key processes related to urbanization-shrinking agricultural land area and increasing urban wages. Our results show that declining agricultural land per capita is associated with greater fertilizer use intensity. Urban wages is positively correlated with fertilizer use intensity. We also find that GDP per capita and per capita expenditure of government for agriculture both positively contribute to the increase of fertilizer use intensity, which is consistent with expectations. Our results imply that other than land conversion, urbanization contains some positive influences on land use sustainability. However, on the other hand, urbanization contributes to agriculture-based environmental pollution by increasing the level of fertilizer use in agricultural production.

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Fixed effects, random effects or Hausman–Taylor?

Cited by 283 publications

References 7 publications

Does price matter? Overseas students in UK higher education

Does price matter? Overseas students in UK higher education

Determinants of Lending Interest Rates of Nepalese Commercial Banks

Urbanization and the Change of Fertilizer Use Intensity for Agricultural Production in Henan Province

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