Consider the Case of Time Fixed Effects Only,i

Essay

Consider the case of time fixed effects only,i.e. ,
Yit = β0 + β1Xit + β3St + uit,
First replace β0 + β3St with φt.Next show the relationship between the φt and δt in the following equation
Yit = β0 + β1Xit + δ2B2t + ...+ δTBTt + uit,
where each of the binary variables B2,…,BT indicates a different time period.Explain in words why the two equations are the same.Finally show why there is perfect multicollinearity if you add another binary variable B1.What is the intuition behind the fact that the OLS estimator does not exist in this case? Would that also be the case if you dropped the intercept?