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Panel data analysis—advantages and challenges

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  • Cheng Hsiao

Abstract

We explain the proliferation of panel data studies in terms of (i) data availability, (ii) the more heightened capacity for modeling the complexity of human behavior than a single cross-section or time series data can possibly allow, and (iii) challenging methodology. Advantages and issues of panel data modeling are also discussed.
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Suggested Citation

  • Cheng Hsiao, 2007. "Panel data analysis—advantages and challenges," TEST: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 16(1), pages 1-22, May.
  • Handle: RePEc:spr:testjl:v:16:y:2007:i:1:p:1-22
    DOI: 10.1007/s11749-007-0046-x
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