Multiple Choice
Which of the following is a reason why fixed effect models can't estimate coefficients on variables that do not vary within unit?
A) Because no fixed effects exists in such a case.
B) The de-meaned variables will not vary.
C) We can estimate such a variable with fixed effects.
D) The errors will be homoscedastic.
Correct Answer:

Verified
Correct Answer:
Verified
Q5: List and provide a brief explanation of
Q6: Given Y<sub>it </sub>= B<sub>0 </sub>+ B<sub>1</sub>Treated<sub>i </sub>+
Q7: When dealing with fixed effects, a de-meaned
Q8: Given Y<sub>it </sub>= B<sub>0 </sub>+ B<sub>1</sub>Treated<sub>i </sub>+
Q9: Explain why a fixed effects model is
Q11: The fixed effect ( <span class="ql-formula"
Q12: A pooled model will produce biased coefficient
Q13: Having a model that controls for
Q14: Explain why coefficients on variables that do
Q15: The benefit of the de-meaned approach over