The two-way Hausman and Taylor estimator

C-Tier
Journal: Economics Letters
Year: 2023
Volume: 228
Issue: C

Score contribution per author:

1.005 = (α=2.01 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper reconsiders the two-way Hausman and Taylor (1981) estimator suggested by Wyhowski (1994). The two-way HT estimator allows some but not necessarily all the regressors to be correlated with the individual and time effects. It also allows the estimation of the effects of time-invariant as well as individual-invariant regressors which are wiped out by the two-way fixed effects estimator. Hausman type tests are proposed for this two-way HT regression to test the over-identification conditions implied by the choice of the uncorrelated regressors. This should prove useful for empirical work in this area.

Technical Details

RePEc Handle
repec:eee:ecolet:v:228:y:2023:i:c:s0165176523001842
Journal Field
General
Author Count
1
Added to Database
2026-01-24