Hello everyone!
I am looking at the differences in Taxable income between self-employers and wage workers.
I conducted an OLS and now I did a fixed effect (after doing the Hausman test).
My problem is that I have never learned what exactly fixed effect does and how I can interpret it and therefore what I can tell my thesis supervisor about it.
My question is: Can someone explain me what fixed effect is and give me some examples about how to interpret it?
The fixed effect results are attached.
Thanks in forward!
P. Suiker
I am looking at the differences in Taxable income between self-employers and wage workers.
I conducted an OLS and now I did a fixed effect (after doing the Hausman test).
My problem is that I have never learned what exactly fixed effect does and how I can interpret it and therefore what I can tell my thesis supervisor about it.
My question is: Can someone explain me what fixed effect is and give me some examples about how to interpret it?
The fixed effect results are attached.
Thanks in forward!
P. Suiker
Comment