Unobserved heterogeneity is ubiquitous in empirical research. In this paper, I propose a method for estimating binary outcome models with panel data in the presence of unobserved heterogeneity, called the Penalized Flexible Correlated Random Effects (PF-CRE) estimator. I show that this estimator produces consistent and efficient estimates of the model parameters. PF-CRE also provides consistent...

EKC scenarios presented by Dasgupta and others (2002) are, with regard to the analytical framework of the Environmental Kuznets Curve (EKC), applicable in Asia to representative environmental indices, such as sulphur emissions and carbon emissions. To carry out this study, a generalized method of moments (GMM) estimation was made, using panel data of 19 economies for the period 1950-2009. The m...

Panel data in many econometric applications exhibit a nested (hierarchical) structure. For example, data on "rms may be grouped by industry, or data on air pollution may be grouped by observation station within a city, city within a country, and by country. In these cases, one can control for unobserved group and sub-group e!ects using a nested-error component model. A double-nested unbalanced ...

Properties of GMM estimators for panel data, which have become very popular in the empirical economic growth literature, are not well known when the number of individuals is small. This paper analyses through Monte Carlo simulations the properties of various GMM and other estimators when the number of individuals is the one typically available in country growth studies. It is found that, provid...

Based on panel data from 1995-1997, the research focuses on the impact of ownership structure on the performance of Russian non-financial privatized companies that constitute the group of blue chips of the country’s stock market. Several performance indicators are used: Tobin’s Q, labour productivity and profitability. In particular, the paper analyzes the relationship between company performan...

Recent work on nonparametric identification of average partial effects (APEs) from panel data require restrictions on individual or time heterogeneity. Identifying assumptions under the “generalized first-differencing” category, such as time homogeneity (Chernozhukov, Fernandez-Val, Hahn, and Newey, 2013), have testable equality restrictions on the distribution of the outcome variable. This pap...

Extending the work by Hausman and Wise (1979), Ridder (1992), Wooldridge (1995) and Ryu (2001), this paper proposes a new and simpler way of accounting for attrition in unbalanced panel data. Cross-sectional units are dissipated over time, possibly in a nonrandom fashion, thus negating the initial randomization. The key element of the current approach is to model the attrition process jointly w...

This study investigates the impact of China’s stock market on firm-level investment by using a panel data set constructed by the author of all Chinese listed firms for the period of 1992 to 1999 and by applying both fixed effects and generalized method of moments (GMM) techniques. The results show that stock market valuation has a highly significant and positive influence on listed firms’ inves...

issues related to environment are one of the most important issues the communities are facing with in the recent decades. on the other hand, the resource scarcity and the necessity of development for iran and other similar countries makes the issue of efficiency as a solution of the environmental crisis important. in this study, the effects of the variables energy intensity (as one of the most ...

Amidst continuing difficulties in justifying the expenditure on e-Government with financial and other returns, we examine whether the delivery of government services online facilitates the setting up of new businesses in a country. Using a panel assembled from three public sources of data, we examine whether delivering more and more government services online reduces the number of procedures th...