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2011 Apr 07
1
Panel data - replicating Stata's xtpcse in R
...2009. A Sectoral Analysis of Human Rights and FDI: Does Industry Type Matter? International Studies Quarterley 53 (2):469 - 493.) The model I try to replicate is in Stata given as
xtpcse total_FDI lag_total ciri human_cap worker_rts polity_4 market income econ_growth log_trade fix_dollar fixed_xr xr_fluct lab_growth english, pairwise corr(ar1)
According to the paper, this is an OLS regression with panel corrected standard errors including a lagged dependent variable (lag_total is total_FDI t-1) and controlling first order correlations within each panel (corr(ar1)).
The BIG QUESTION is how to repli...