Volume 22, Number 3 (Summer) 1987
Maddala, G. S. 1987. "Limited Dependent Variable Models Using Panel Data." Journal of Human Resources 22(3):305-338.
This paper presents a survey of the methods used in the estimation of limited dependent variable models with panel data. It first reviews some issues in the analysis of panel data when the dependent variables are continuous. The problems of fixed effects vs. random effects and serious correlation vs. state dependence are discussed with reference to continuous data. The paper then discusses these problems with reference to the panel logit, panel probit, and panel tobit models. The paper presents a comparative assessment of these models.
The author is a professor of economics at the University of Florida. He gratefully acknowledges financial support from the National Science Foundation and thanks James D. Adams for helpful comments. He claims responsibility for any errors.
© 2002 by the Board of Regents of the University of Wisconsin System
US ISSN 0022-166X