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2013 Methods Workshop: Analysis of Panel Data – Random and Fixed Effect Modeling

  • January 2013
  • Event

Dr. Günther Fink led a workshop from 2-5:30 pm on Jan. 23, 2013 in Oslo, Norway.

The goals of the methods workshop were to:

  • Introduce participants to longitudinal data and the main advantages of panel data
  • Explore the differences between random effects, multilevel and fixed effects models, with a particular focus on the underlying statistical assumptions and their implications for causal inference

Topics covered included:

  • Definition and structure of longitudinal data
  • Conceptual advantages of longitudinal data compared to cross-sectional data
  • Identification of statistical models with panel data: “between” and “within” variation
  • Empirical challenges: correlation of residuals within groups; lack of temporal variation; attrition and loss to follow-up; and non-random temporal (within) variations and instrumental variable estimation as potential solution

Required Readings:

  • Jane G. Fortson, “HIV/AIDS and Fertility,” American Economic Journal: Applied Economics 1, no. 3 (July 2009): 170-94.
  • Christopher McKelvey, Duncan Thomas, and Elizabeth Frankenberg, “Fertility Regulation in an Economic Crisis,” Economic Development and Cultural Change 61, no. 1 (October 2012): 7-38.
  • Jane Waldfogel, “The Effect of Children on Women’s Wages,” American Sociological Review 62 (April 1997): 209-17.

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