The HPPANEL Procedure

MODEL Statement

MODEL response = regressors </ options>;

The MODEL statement specifies the regression model, the error structure that is assumed for the regression residuals, and the estimation technique to be used. The response variable is regressed on the independent variables (regressors). You can specify only one MODEL statement and only one response.

You specify the error structure and estimation technique by including one of the following options after a slash (/):

BTWNG: estimates the between-groups model.
BTWNT: estimates the between-time-periods model.
FIXONE: estimates a one-way fixed-effects model, which corresponds to cross-sectional effects.
FIXONETIME: estimates a one-way fixed-effects model, which corresponds to time effects.
FIXTWO: estimates a two-way fixed-effects model.
POOLED: estimates the pooled regression model.
RANONE: estimates a one-way random-effects model.
RANTWO: estimates a two-way random-effects model.

By default, a FIXONE estimation is performed.

You can also specify the following options after the slash:

NOINT

suppresses the intercept parameter from the model.

PRINTFIXED

prints the fixed effects.

VCOMP=FB | NL | WH | WK

specifies the type of variance component estimator to use. You can specify the following values:

FB: requests the Fuller-Battese estimator.
WK: requests the Wansbeek-Kapteyn estimator.
WH: requests the Wallace-Hussain estimator.
NERLOVE: requests the Nerlove estimator.

By default, VCOMP=WK for both balanced and unbalanced data.