Moment conditions for dynamic panel data models with multiplicative individual effects in the conditional variance
Abstract
Moment conditions are derived for dynamic linear panel data models with linear individual specific effects in the mean and multiplicative individual effects in the conditional ARCH type variance function. The relation and correlation between the linear and multiplicative effects are unrestrained. Moment conditions are derived for non-autocorrelated error processes, MA(q) processes, and for models that allow for time varying parameters on both the linear mean effects and multiplicative variance effects. The small sample performance of a GMM estimator is investigated in a Monte Carlo simulation study.(This abstract was borrowed from another version of this item.)
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Paper provided by University College London in its series Open Access publications from University College London with number http://discovery.ucl.ac.uk/14947/.Length:
Date of creation: 1999
Date of revision:
Publication status: Published in Annales d'Economie et de Statistique (1999) v.55, p.317-330
Handle: RePEc:ner:ucllon:http://discovery.ucl.ac.uk/14947/
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Related research
Keywords:Other versions of this item:
- Costas MEGHIR & Frank WINDMEIJER, 1999. "Moment Conditions for Dynamic Panel Data Models with Multiplicative Individual Effects in the Conditional Variance," Annales d'Economie et de Statistique, ENSAE, issue 55-56, pages 317-330.
- Costas Meghir & Frank Windmeijer, 1997. "Moment conditions for dynamic panel data models with multiplicative individual effects in the conditional variance," IFS Working Papers W97/21, Institute for Fiscal Studies.
- C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
References
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Costas Meghir & Luigi Pistaferri, 2001.
"Income variance dynamics and heterogenity,"
IFS Working Papers
W01/07, Institute for Fiscal Studies.
- Costas Meghir & Luigi Pistaferri, 2004. "Income Variance Dynamics and Heterogeneity," Econometrica, Econometric Society, vol. 72(1), pages 1-32, 01.
- Meghir, Costas & Pistaferri, Luigi, 2002. "Income Variance Dynamics and Heterogeneity," CEPR Discussion Papers 3632, C.E.P.R. Discussion Papers.
- Hospido, Laura, 2010.
"Modelling Heterogeneity and Dynamics in the Volatility of Individual Wages,"
IZA Discussion Papers
4712, Institute for the Study of Labor (IZA).
- L. Hospido, 2012. "Modelling heterogeneity and dynamics in the volatility of individual wages," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 27(3), pages 386-414, 04.
- Laura Hospido, 2007. "Modelling Heterogeneity And Dynamics In The Volatility Of Individual Wages," Working Papers wp2007_0717, CEMFI.
- Laura Hospido, 2007. "Modelling heterogeneity and dynamics in the volatility of individual wages," Banco de España Working Papers 0738, Banco de España.
- Chihwa Kao & Yongmiao Hong, 2004. "Detecting Neglected Nonlinearity in Dynamic Panel Data with Time-Varying Conditional Heteroskedasticity," Econometric Society 2004 Far Eastern Meetings 753, Econometric Society.
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