Original Article
Correlation bias correction in two‐way fixed‐effects linear regression
Abstract
When doing two‐way fixed‐effects ordinary least squares estimations, both the variances and covariance of the fixed effects are biased. A formula for a bias correction is known, but in large datasets, it involves inverses of impractically large matrices. We detail how to compute the bias correction in this case. Copyright © 2014 John Wiley & Sons, Ltd.
Citing Literature
Number of times cited according to CrossRef: 6
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