Wu-Hausman Test: Choosing between Fixed and Random Effects
The Wu-Hausman Test can be used to determine whether the Fixed Effects Model or Random Effects Model is more appropriate. To apply this test, we need to estimate both the…
The Wu-Hausman Test can be used to determine whether the Fixed Effects Model or Random Effects Model is more appropriate. To apply this test, we need to estimate both the…
The Breusch-Pagan Lagrange Multiplier Test is used to determine whether random effects are significant in panel data models. On the other hand, the Hausman Test is used to choose between…
The usual Goodness-of-fit statistics such as R-square and Adjusted R-square are not applicable in the case of Qualitative Response models. This is because the Ordinary Least Squares method of estimation…
The Standard Error of an estimate is the measure of the standard deviation of that coefficient. It helps to determine the reliability or precision of a coefficient estimated by the…