Contents
What is the difference between balanced and unbalanced panel data?
A balanced panel (e.g., the first dataset above) is a dataset in which each panel member (i.e., person) is observed every year. An unbalanced panel (e.g., the second dataset above) is a dataset in which at least one panel member is not observed every period.
What is the problem with unbalanced panel data?
The unbalanced panel data begins to have a problem when the value of “e” exerts significant effect on the system, thus, inflating error term for statement (1). ANOVA, MIVQUE and MLE can be used to estimate this error component.
Why is panel data better than others?
Panel data contains more information, more variability, and more efficiency than pure time series data or cross-sectional data. Panel data can detect and measure statistical effects that pure time series or cross-sectional data can’t.
How many observations are included in a time series?
So 40 dates but 120 total observations. I have read up to SARIMA’a in Shumway and Stoffer’s Time Series Analysis and it’s Applications as well as skimmed Woodward, et. al.’s Applied Time Series Analysis, and my understanding is each model is based on a single observation at each point in the time series.
How to build time series that includes multiple measurements?
This would mean that you’re taking three measurements ever quarter, one from each of three distinct sources that stay the same over time. Your data would look something like: If this is what you’re looking at, there are a number of models for working with panel data.
What makes a data set to be unbalanced?
A data set might be unbalanced because data are missing for some years. If you were, say, analyzing countries, it might even be that the country did not exist during some time periods. Strongly balanced data are best but my understanding is that Stata can generally do a good job with unbalanced data.
When do pooled data occur in a time series?
Pooled data occur when we have a “time series of cross sections,” but the observations in each cross section do not necessarily refer to the same unit.