Introductory Econometrics - A Modern Approach - ch13.pptVIP

Economics 20 - Prof. Anderson A True Panel vs. A Pooled Cross Section Often loosely use the term panel data to refer to any data set that has both a cross-sectional dimension and a time-series dimension More precisely it’s only data following the same cross-section units over time Otherwise it’s a pooled cross-section Pooled Cross Sections We may want to pool cross sections just to get bigger sample sizes We may want to pool cross sections to investigate the effect of time We may want to pool cross sections to investigate whether relationships have changed over time Difference-in-Differ