%0 Report
        %A Buddelmeyer, Hielke
%A Jensen, Paul H.
%A Oguzoglu, Umut
%A Webster, Elizabeth
        %T Fixed Effects Bias in Panel Data Estimators
        %D 2008
        %8 2008 May
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 3487
        %U https://www.iza.org/publications/dp3487
        %X Since little is known about the degree of bias in estimated fixed effects in panel data models, we run Monte Carlo simulations on a range of different estimators. We find that Anderson-Hsiao IV, Kiviet’s bias-corrected LSDV and GMM estimators all perform well in both short and long panels. However, OLS outperforms the other estimators when the following holds: the cross-section is small (N = 20), the time dimension is short (T = 5) and the coefficient on the lagged dependent variable is large (γ = 0.8).	
        %K fixed effects
%K panel data
%K LSDV
%K dynamic model