Difference between -cluster(id_var)- and -vce(cluster id_var)-

[jannis bauer]

Hello,
can someone please explain me the difference if i have Panel Data ? They would look like

xtset country_id year

reghdfe y x1 x2, absorb(country_id) cluster(country_id)

and

reghdfe y x1 x2, absorb(country_id) vce(cluster country_id)

which one is correct ?

Thanks in advance

[FernandoRios]

Both are correct
using cluster(var) is the older syntax
vce(cluster var) is the newer one
hth

[jannis bauer]

oh okay thanks. if i want to consider country fixed effects, what would my model look like ?

reghdfe y x1 x2, absorb(country_id) vce(cluster country_id)

is this right ?
Is it a problem that i absorb for country_id and also cluster ?

[Carlo Lazzaro]

Jannis:
no, it is not.
But you would get almost identical results with -xtreg,fe-.