Consider the Following Panel Data Regression with a Single Explanatory

question 5

Essay

Consider the following panel data regression with a single explanatory variable
Y_it = β₀ + β₁X_it + u_it.
In each of the examples below, you will be adding entity and time fixed effects. Indicate the total number of coefficients that need to be estimated.
(a)The effect of beer taxes on the fatality rate, annual data, 1982-1988, nine U.S. regions (New England, Pacific, Mid-Atlantic, East North Central, etc.).
(b)The effect of the minimum wage on teenage employment, annual data, 1963-2000, five Canadian Regions (Atlantic Provinces, Quebec, Ontario, Prairies, British Columbia).
(c)The effect of savings rates on per capita income, data for three decades (1960-1969, 1970-1979, 1980-1989; one observation per decade), 104 countries of the world.
(d)The effect of pitching quality in baseball (as measured by the Team ERA)on the winning percentage, annual data, 1998-1999 season, 1999-2000 season, 30 teams.

---

Definitions:

Review Of Systems

A systematic approach in medical history taking to identify symptoms the patient may be experiencing across different body systems.

Baseline Measurements

Initial data collection at the start of a study or experiment against which future measurements will be compared to assess change or impact.

Follow-Up Visits

Subsequent appointments or consultations after the initial one to review, assess, or continue treatment of a medical condition.

Outstanding Balances

The total amount owed that has not yet been paid.