Different R square for areg and xtreg

[Nuzaba Tahreen]

Hi
I used both areg command and xtreg command. Got significant results in areg command with a high R squire. Now I am confused which one is correct to use for the paper?

areg command is.

areg Y X, vce(cluster cc) absorb(id)

Here cc is the cluster by country and year
Best
Nuzaba

[Phil Bromiley]

You didn't get a quick answer. You would increase your chances of a useful answer if you include Stata code in code delimiters, Stata output, and sample data using dataex - see FAQ on asking questions. Also, simplify what you post to the minimum needed to demonstrate the problem.

Normally, if you have panel data, then you're better off reporting xtreg results. You need to check whether you should use fixed or random effects (see hausman).