Error component three-stage least squares. Verify that GLS on the stacked system (7.21) and (7.23) each premultiplied
Question:
Error component three-stage least squares. Verify that GLS on the stacked system (7.21) and (7.23) each premultiplied by \(\left(I_{M} \otimes \widetilde{X}^{\prime}ight)\) and \(\left(I_{M} \otimes \bar{X}^{\prime}ight)\), respectively, yields the EC3SLS estimator of \(\delta\) given in (7.25) (see Baltagi (1981b)).
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: