Chow test, Panel Data, Stata 13

[Ferran Franquesa]

Dear all,

I have panel data and want to see what is the time trend of the Internet Expenses for DAX30 companies from 2000-2016. After doing "regress company time" for each company, I suspect there is a structural break in 2012. I know how to check for it using the Chow test, and I could do it for every single company, but I would still don't know if this structural break would be significant in case not all companies showed it. I was wondering if Stata had a tool for this.

I hope I have been clear enough.


Thank you!

[Carlo Lazzaro]

Ferran:
welcome to the list.
The following thread might be interesting: http://www.stata.com/support/faqs/st...how-statistic/.
You may also want to see the example on Chow test reported in Stata 13 .pdf manual, -contrast- entry, page 368.

[Ferran Franquesa]

Thank you Carlo!

[Sinem Ates]

Hi,

I have read all the posts regarding chow test however I could not find how chow test statistic can be calculated after xtreg, fe command. Could you please help on this subject?

[Jessica Sardinha]

You have to look for the test F below the command xtreg , fe.

For example:

F test that all u_i=0: F(18, 37917) = 3.55                   Prob > F = 0.0000

This is the Chow Test

[Sinem Ates]

thank you

[Linh Nguyen]

#5: no, that test is for fixed effects vs pooled OLS (https://www.statalist.org/forums/for...7625-chow-test)