reshape wide income_, i(id) j(year)
pwcorr wage hours tenure age
: The numeric variable identifying the cross-sectional unit. timevar : The numeric variable identifying the time period. stata panel data
Success in Stata panel data analysis is 80% data preparation.
Once your data is set, use specialized "xt" commands for summaries and visualizations. reshape wide income_, i(id) j(year) pwcorr wage hours
Controlling for year-specific shocks:
Introduction to Panel Data in Stata Panel data, also known as longitudinal data, follows the same cross-sectional units (such as individuals, firms, countries, or schools) over multiple time periods. By combining the spatial and temporal dimensions of data, panel regression allows researchers to control for unobserved variables that change over time but not across entities, or vice versa. Once your data is set, use specialized "xt"
reg wage hours tenure age i.year, robust
If the p-value is , reject the null hypothesis. Pooled OLS is biased; use Fixed Effects. Fixed Effects vs. Random Effects (Hausman Test)