Hi there, Maybe people who know both R and econometrics will be able to answer my questions.
I want to run panel regressions in R with fixed-effect. I know two ways to do it. First, I can include factor(grouping_variable) in my regression equation. Second, I plan to subtract group mean from my variables and run OLS panel regression with function lm(). I plan to do it with the second way because the number of groups is large, which incur computational problems inverting large model-matrix. I am interested in the R-squared and adjusted R-squared out of these regressions. Do I need to adjust my R-squared after I run OLS regressions with demeaned variables? Are there any functions that specifically deal with fixed-effects? Thanks. Best, Jia ______________________________________________ R-help@r-project.org mailing list https://stat.ethz.ch/mailman/listinfo/r-help PLEASE do read the posting guide http://www.R-project.org/posting-guide.html and provide commented, minimal, self-contained, reproducible code.
