A pattern in the coefficients of the time fixed effects binary variables may reveal the following in a study of the determinants of state unemployment rates using panel data:
A) macroeconomic effects, which affect all states equally in a given year.
B) attitude differences towards unemployment between states.
C) there is no economic information that can be retrieved from these coefficients.
D) regional effects, which affect all states equally, as long as they are a member of that region.
Answer: A) macroeconomic effects, which affect all states equally in a given year.
You might also like to view...
A market structure in which identical goods are produced by several different firms and sold at the market determined price is referred to as:
A) an oligopoly. B) a monopoly. C) perfect competition. D) monopolistic competition.
Which of the following is a characteristic of stock?
A) Stock represents ownership in a firm B) Stock represents a promise to repay a fixed amount of funds. C) The face value or principal plus interest is repaid at a specified period of time. D) The length of coupon payments is fixed by the stated maturity period.