Cross-sectional correlation in random effect model (panel data)

[Waqar Ali Khan]

Dear all, Following is the result of xtsum of my data set (panel). I am using random effects model to estimate my model. kindly could any one explain how to remedy Cross-sectional correlation in random effect model. i have searched a lot in this regard in apparently there is a command of "xtscc" for doing the handling Cross-sectional correlation in fixed effect. However, i could not find any for random effect model. results of xtsum are as follows:- . encode Company, gen(comp1) . xtset comp1 Year panel variable: comp1 (strongly balanced) time variable: Year, 2006 to 2015 delta: 1 unit . xtsum MgtOwnshp Top20 CEODUALTY LNBRDSIZE ofNEDinBd ofINDinBd PNEDinAC PINDinAC TobinsQ tpopeqt pbtopeqt taopeqt em Variable | Mean Std. Dev. Min Max | Observations -----------------+--------------------------------------------+---------------- MgtOwn~p overall | .1768129 .2361586 0 .9285294 | N = 1180 between | .2231633 8.14e-07 .8042993 | n = 118 within | .079682 -.4199361 .7320211 | T = 10 | | Top20 overall | .8345615 .1486459 .0276385 .9996337 | N = 1180 between | .1220368 .4024898 .9975408 | n = 118 within | .0855354 .2136564 1.426132 | T = 10 | | CEODUA~Y overall | .2271186 .4191475 0 1 | N = 1180 between | .3249355 0 1 | n = 118 within | .2662847 -.6728814 1.127119 | T = 10 | | LNBRDS~E overall | 2.084973 .1747783 1.609438 2.70805 | N = 1180 between | .1570021 1.896848 2.638546 | n = 118 within | .0780124 1.551851 2.556717 | T = 10 | | ofNEDi~d overall | .6083674 .2519492 0 1 | N = 1180 between | .2023761 0 .9284982 | n = 118 within | .1511124 -.1270871 1.179796 | T = 10 | | ofINDi~d overall | .1631091 .2126114 0 .9285714 | N = 1180 between | .1538426 0 .6333333 | n = 118 within | .147366 -.3372938 .720252 | T = 10 | | PNEDinAC overall | .8223446 .2164121 0 1.25 | N = 1180 between | .1569516 .2 1.005 | n = 118 within | .1496276 -.0776554 1.622345 | T = 10 | | PINDinAC overall | .0800525 .1620784 0 1 | N = 1180 between | .0837146 0 .6428571 | n = 118 within | .1389776 -.4199475 .9033858 | T = 10 | | TobinsQ overall | 1.513368 3.079121 -13.7435 84.91237 | N = 1180 between | 1.52621 -.4625534 11.87648 | n = 118 within | 2.677583 -11.76758 74.54926 | T = 10 | | tpopeqt overall | .0748265 1.83837 -3.278566 61.72985 | N = 1180 between | .566365 -.321308 6.045282 | n = 118 within | 1.749652 -6.756902 55.75939 | T = 10 | | pbtopeqt overall | .4807008 5.464177 -8.741039 179.7255 | N = 1180 between | 1.700493 -.893326 17.55425 | n = 118 within | 5.194962 -19.30653 162.6519 | T = 10 | | taopeqt overall | 1.933166 75.38264 -2532.067 168.4589 | N = 1180 between | 24.74342 -258.854 30.20844 | n = 118 within | 71.23889 -2271.28 279.6881 | T = 10 | | em overall | .2120748 2.485143 -4.113399 83.79708 | N = 1180 between | .8036939 -.3095234 8.745027 | n = 118 within | 2.352646 -9.263928 75.26413 | T = 10 thanks in advance.

[Carlo Lazzaro]

Waqar:
welcome to the list.
Unfortunately, your post has severe formatting issues.
Please see the FAQ on how to use CODE for posting what you typed and what Stata gave you back. Thanks.