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This letter deals with a very simple issue: if we have grouped data with a binary dependent variable and want to include fixed effects (group specific intercepts) in the specification, is Ordinary Least Squares (OLS) in any way superior to…

Applications · Statistics 2018-10-30 Nathaniel Beck

In different fields of applications including, but not limited to, behavioral, environmental, medical sciences and econometrics, the use of panel data regression models has become increasingly popular as a general framework for making…

Methodology · Statistics 2020-05-15 Beste Hamiye Beyaztas , Soutir Bandyopadhyay

In the heteroscedastic linear model, the weighted least squares (WLS) estimate of the model coefficients is more efficient than the ordinary least squares (OLS) esti- mate. However, the practical application of WLS is challenging because it…

Statistics Theory · Mathematics 2025-05-28 Jordan Bryan , Haibo Zhou , Didong Li

Least squares linear regression is one of the oldest and widely used data analysis tools. Although the theoretical analysis of the ordinary least squares (OLS) estimator is as old, several fundamental questions are yet to be answered.…

Statistics Theory · Mathematics 2019-10-16 Arun K. Kuchibhotla , Lawrence D. Brown , Andreas Buja , Junhui Cai

This paper systematically analyzes and reviews identification strategies for binary choice logit models with fixed effects in panel and network data settings. We examine both static and dynamic models with general fixed-effect structures,…

Econometrics · Economics 2025-08-18 Kevin Dano , Bo E. Honoré , Martin Weidner

This paper proposes a method for estimating multiple change points in panel data models with unobserved individual effects via ordinary least-squares (OLS). Typically, in this setting, the OLS slope estimators are inconsistent due to the…

Econometrics · Economics 2018-08-10 Otilia Boldea , Bettina Drepper , Zhuojiong Gan

Ordinary least squares (OLS) linear regression is one of the most basic statistical techniques for data analysis. In the main stream literature and the statistical education, the study of linear regression is typically restricted to the…

Statistics Theory · Mathematics 2018-09-28 Arun K. Kuchibhotla , Lawrence D. Brown , Andreas Buja

Ordinary least-squares (OLS) estimators for a linear model are very sensitive to unusual values in the design space or outliers among y values. Even one single atypical value may have a large effect on the parameter estimates. This article…

Methodology · Statistics 2014-04-28 Chun Yu , Weixin Yao , Xue Bai

Linear regression is one of the most prevalent techniques in machine learning, however, it is also common to use linear regression for its \emph{explanatory} capabilities rather than label prediction. Ordinary Least Squares (OLS) is often…

Data Structures and Algorithms · Computer Science 2017-08-23 Or Sheffet

We present a new finite-time analysis of the estimation error of the Ordinary Least Squares (OLS) estimator for stable linear time-invariant systems. We characterize the number of observed samples (the length of the observed trajectory)…

Statistics Theory · Mathematics 2020-03-27 Yassir Jedra , Alexandre Proutiere

We consider ordered logit models for directed network data that allow for flexible sender and receiver fixed effects that can vary arbitrarily across outcome categories. This structure poses a significant incidental parameter problem,…

Econometrics · Economics 2025-07-23 Chris Muris , Cavit Pakel , Qichen Zhang

The main object of investigation in this paper is a very general regression model in optional setting - when an observed process is an optional semimartingale depending on an unknown parameter. It is well-known that statistical data may…

Statistics Theory · Mathematics 2021-03-16 Mohamed Abdelghani , Alexander Melnikov , Andrey Pak

Longitudinal studies of a binary outcome are common in the health, social, and behavioral sciences. In general, a feature of random effects logistic regression models for longitudinal binary data is that the marginal functional form, when…

Regression is a fundamental tool in scientific research. Ordinary least squares (OLS), one of the most widely used regression methods, enjoys several desirable properties, including the best linear unbiased estimator (BLUE) property. It is…

Methodology · Statistics 2026-05-29 Hwiyoung Lee , Shuo Chen

Naive maximum likelihood estimation of binary logit models with fixed effects leads to unreliable inference due to the incidental parameter problem. We study the case of three-dimensional panel data, where the model includes three sets of…

Econometrics · Economics 2023-11-08 Amrei Stammann

Dynamic logit models are popular tools in economics to measure state dependence. This paper introduces a new method to derive moment restrictions in a large class of such models with strictly exogenous regressors and fixed effects. We…

Econometrics · Economics 2023-12-05 Kevin Dano

Traditionally, the least squares regression is mainly concerned with studying the effects of individual predictor variables, but strongly correlated variables generate multicollinearity which makes it difficult to study their effects.…

Methodology · Statistics 2022-12-22 Min Tsao

This paper studies identification and estimation of average causal effects, such as average marginal or treatment effects, in fixed effects logit models with short panels. Relating the identified set of these effects to an extremal moment…

Econometrics · Economics 2024-12-20 Laurent Davezies , Xavier D'Haultfœuille , Louise Laage

Fixed effect estimators of nonlinear panel data models suffer from the incidental parameter problem. This leads to two undesirable consequences in applied research: (1) point estimates are subject to large biases, and (2) confidence…

Econometrics · Economics 2022-04-18 Shuowen Chen

Uncertainty in estimating the log-law parameters is arguably the greatest obstacle to establishing definitive conclusions regarding their numerical values and universality. This challenge is exacerbated by the limited number of studies that…

Fluid Dynamics · Physics 2026-04-15 M. Aguiar Ferreira , B. Ganapathisubramani
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