Hi all...I am new to Stata...I am having some questions which I am sure you people will be able to answer and help me out...
I am having a small panel data set of 124 companies spanned over 6 years(2010-2015)...i tested between pooled OLS and fixed effects and got pooled OLS to be the one that I should use....further did a test between pooled ols and random effects and got random effects as the answer.....
Now when I am running both pooled OLS and random effects, I am getting significant results for most of my explanatory variables but as soon as I am entering industry dummies the significance disappears for my most important explanatory variable and also other explanatory variables apart from one or two.. i am not sure what is happening and what kind of model should I be using...Need your suggestions....
I am having a small panel data set of 124 companies spanned over 6 years(2010-2015)...i tested between pooled OLS and fixed effects and got pooled OLS to be the one that I should use....further did a test between pooled ols and random effects and got random effects as the answer.....
Now when I am running both pooled OLS and random effects, I am getting significant results for most of my explanatory variables but as soon as I am entering industry dummies the significance disappears for my most important explanatory variable and also other explanatory variables apart from one or two.. i am not sure what is happening and what kind of model should I be using...Need your suggestions....