Dear all,
I am doing a pane analysis with more than 200,000 entities for 5 years (2006-2010).
My dependent variable is the commercial income of nonprofit organizations and independent variables include: the number of the same types of nonprofit organization located in the same county, donations; salary paid to full time employees, urban index, and racial diversification. I used fixed effects (controlling entity and years) with robust standard errors. I did not use clustered standard errors because there was no clusters present (nonprofits were almost evenly distributed among 48 states in spite of most urbanized cities have more nonprofits)
I ran a few diagnostics and it showed that there was auto correlation. Should I use dynamic model?? I thought I cannot use it since the T is too small.
Any type of help is greatly appreciated. Thank you in advance.
JS
I am doing a pane analysis with more than 200,000 entities for 5 years (2006-2010).
My dependent variable is the commercial income of nonprofit organizations and independent variables include: the number of the same types of nonprofit organization located in the same county, donations; salary paid to full time employees, urban index, and racial diversification. I used fixed effects (controlling entity and years) with robust standard errors. I did not use clustered standard errors because there was no clusters present (nonprofits were almost evenly distributed among 48 states in spite of most urbanized cities have more nonprofits)
I ran a few diagnostics and it showed that there was auto correlation. Should I use dynamic model?? I thought I cannot use it since the T is too small.
Any type of help is greatly appreciated. Thank you in advance.
JS
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