Entity fixed effect

[Hela BEJI]

Dear Statalisters,
I am running a fixed effect regression and i want to know if there is a test in STATA that lets me know if an entity fixed effect is needed ( similar to testparm for time fixed effect).
Thank you very much in advance.
Hela

[Carlo Lazzaro]

Hela:
yes, there is.
If the F-test appearing as a footnote of the -xtreg, fe- outcome table fails to reach ststistical significance, -regress- outperforms -xtreg, fe-.
Unfortunately, that test is not available if -xtreg, fe- standard errors differ from default.

[Hela BEJI]

Thank you very much for your answer.

[Mohammad Azeem Khan]

Hello Carlo
I also have to know the same thing. But I could not get you. Could you please elaborate a bit more.


Thanks

[Carlo Lazzaro]

Mohammad:
see Examples 2 and 3, -xtreg entry, Stata .pdf manual.

[Mohammad Azeem Khan]

I got it. Thanks a lot, Mr. Carlo