Monte Carlo comparison of model and moment selection and classical inference approaches to break detection in panel data

نویسندگان

  • Stefan De Wachter
  • Elias Tzavalis
چکیده

This note shows how to use the GMM model and moment selection procedures of Andrews and Lu (2001) for the purpose of detection of a general structural break in a dynamic panel data model. It compares the resulting method with the classical hypothesis testing approach of De Wachter and Tzavalis (2004). Out of 3 model selection criteria studied, the GMMHQIC criterion is found to perform most similarly to the classical hypothesis test.

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تاریخ انتشار 1987