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On the problem of optimal inference for time heterogeneous data with error components regression structure

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Author Info
Jonsson, Robert (Department of Economics, School of Economics and Commercial Law, Göteborg University)
Abstract

Time heterogeneity, or the fact that subjects are measured at different times, occurs frequently in non-experimental situations. For time heterogeneous data having error components regression structure it is demonstrated that under customary normality assumptions there is no estimation method based on Maximum Likelihood, Least Squares, Within-subject or Between-subject comparisons that is generally superior when estimating the slope of the regression line. However, in some situations it is possible to give guidelines for the choice of an optimal procedure. These are expressed in terms of the variability of the times for the measurements and also of the inter-subject correlation. The results are demonstrated on data from a longitudinal medical study.

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File URL: http://hdl.handle.net/2077/2820
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Publisher Info
Paper provided by Göteborg University, Department of Economics in its series Working Papers in Economics with number 110.

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Length: 29 pages
Date of creation: 29 Oct 2003
Date of revision:
Handle: RePEc:hhs:gunwpe:0110

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Postal: Department of Economics, School of Business, Economics and Law, Göteborg University Box 640, SE 405 30 GÖTEBORG, Sweden
Phone: 031-773 10 00
Web page: http://www.handels.gu.se/econ/
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Related research
Keywords: Error components regression; Time heterogeneity; Optimal estimators; Efficiency; Test power;

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Find related papers by JEL classification:
C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - General
C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Estimation
C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data
C40 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - General
C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Petzold, Max & Jonsson, Robert, 2003. "Maximum Likelihood Ratio based small-sample tests for random coefficients in linear regression," Working Papers in Economics 102, Göteborg University, Department of Economics. [Downloadable!]
  2. Taylor, William E., 1980. "Small sample considerations in estimation from panel data," Journal of Econometrics, Elsevier, vol. 13(2), pages 203-223, June. [Downloadable!] (restricted)
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