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Panel Data Analysis—Advantages and Challenges

id: 2076 Date: 20131014 status: published Times:
Magazines   16: 1–22
AuthorCheng Hsiao
ContentWe explain the proliferation of panel data studies in terms of (i) data availability, (ii) the more heightened capacity for modeling the complexity of human behavior than a single cross-section or time series data can possibly allow, and (iii) challenging methodology. Advantages and issues of panel data modeling are also discussed.
JEL-Codes
KeywordsPanel data,Longitudinal data,Unobserved heterogeneity,Random effects,Fixed effects
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