Two Stage Least Squares Estimation Cannot Be Applied to a Panel

question 3

True/False

Two stage least squares estimation cannot be applied to a panel data set.​

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Definitions:

Self-determination Theory

A theory of motivation that emphasizes the role of intrinsic motivation in driving human behavior and the importance of psychological needs for competence, autonomy, and relatedness.

Competence

The ability to do something successfully or efficiently, typically gained through experience or training.

Autonomy

The capacity to make an informed, uncoerced decision independently.

Hierarchy of Needs

A theory proposed by Abraham Maslow suggesting that people are motivated by five basic categories of needs: physiological, safety, love/belonging, esteem, and self-actualization, which must be fulfilled in sequence.