[Gretl-users] fixed effects panel estimation

Allin Cottrell cottrell at wfu.edu
Thu Jul 23 23:06:07 EDT 2009


On Sat, 18 Jul 2009, Iveta Paterova wrote:

> thank you Allin for your reply.But I still do not know which estimator
> to use for gravity if OLS seems to be unappropiate (low R squared) for
> gravity equation?

A low R-squared value is not in itself a signal that OLS is
inappropriate.  But an alternative is the random effects model.

Allin Cottrell


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