The HPPANEL Procedure

Pooled Estimator

The pooled estimator is simply linear regression that is run on all the data, without regard to cross section or time:

\[ {\mi{y}}_\mi {it} = {\mi{\mb{x}}}_\mi {it}{\beta }^{P} + u_\mi {it} \]

The error is assumed to be normally distributed with mean zero and a constant variance.