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  • How to generate time×region fixed effect in the panel regression

    How to generate time×region fixed effect in the panel regression to absorb unobservable variation common to all banks in the same region in a given quarter

  • #2
    I think the simplest way is to do the fixed-effects regression using Sergio Correa's -reghdfe-, available from SSC, specifying the -absorb(time#region)- option.

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