The Initial Conditions Problem in Dynamic, Nonlinear Panel Data Models with Unobserved Heterogeneity

By Jeffrey M. Wooldridge. 2002

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Citations in the corpus

Exporting and innovating among emerging market firms: The moderating role of institutional development (2017, background): “Wooldridge (2005) has described such a procedure as a way to address endogeneity concerns in panel data analysis.”
Impacts of land certification on tenure security, investment, and land markets: evidence from Ethiopia (2008, positive): “To account for this, the distribution of the unobserved effect is modeled conditional on the initial observation in addition to the time-varying household level covariates (Wooldridge 2005).”
Avoiding biased versions of Wooldridge’s simple solution to the initial conditions problem (2013, methodology): “…5 May 2013 Available online 11 May 2013 JEL classification: C23 C25 Keywords: Dynamic model Initial conditions Panel data Unbalanced panels a b s t r a c t Wooldridge (2005) provided a simple and elegant solution to the initial conditions problem for dynamic nonlinear unobserved-effects models.”
Impacts of Land Certification on Tenure Security, Investment, and Land Market Participation: Evidence from Ethiopia (2011, methodology): “As this may be unrealistic, we use Chamberlain’s random effects probit (Chamberlain 1980; Wooldridge 2002), which allows correlation between ci and the means of time-varying covariates at the household level according to c x̄ a ,i i i where is the vector of the average of time-x̄i varying household…”
Overreaction in capital flows to emerging markets: Booms and sudden stops☆ (2012, methodology): “The threshold is chosen to minimize B/(A+B)/D/(C+D) according to the following chart: Signalt-1 No Yes No A B SSt Yes C D 15 See Wooldridge (2002) for a simple explanation.”
Internal and external factors in innovation persistence (2013, methodology): “Heckman (1981) suggests specifying the distribution of y i 0 conditional on u i and x i ; alternatively, Wooldridge (2005) proposes specifying the distribution of u i conditional on y i 0 and x i .”
Retaining through training even for older workers (2013, positive): “conditions problem is addressed by using Wooldridge’s (2005) approach.”
Time-Dependent Versus State-Dependent Pricing: A Panel Data Approach to the Determinants of Belgian Consumer Price Changes (2005, positive): “Moreover, the estimation procedure (NLMIXED) in SAS explicitly uses a representation of the likelihood similar to the one proposed by Wooldridge (2003)..”
The Inter-related Dynamics of Unemployment and Low-wage Employment (2007, background): “Wooldridge (2005) has proposed an alternative Conditional Maximum Likelihood (CML) estimator that considers the distribution conditional on the initial period 14 Any difference in error variance will be captured in θ. value (and exogenous variables).”
High-growth firms and productivity: evidence from the United Kingdom (2015, methodology): “This motivates the application of the second dynamic approach, the so-called dynamic Probit estimator proposed by Wooldridge (2005) which is based on the following the model: itjtkiiktititit RZHGFRZgtfpHGFHGFit ''''''' 11111 * (3) where the initial status of HGF, and the firm specific time…”
Airtime transfers and mobile communications: Evidence in the aftermath of natural disasters (2016, methodology): “Thus, we follow Wooldridge (2005) and separately recover the average partial effects by obtaining the predicted τ̂ij from (5) and then regressing these predicted values on Zij (column 2).”
Job Security and Job Protection (2005, neutral): “Another possible approach (advocated by Wooldridge, 2002), is to condition the whole problem on the individual’s initial state, ei1.”