In your panel analysis, you want to decide on which model to consider between the fixed effects model and the random effects model. You conduct a test and obtain a p-value of 0.001. Answer the following sub-questions: a) State which test is conducted or used to decide between the fixed effects model and random effects model. b) State and explain the null and alternative hypothesis. c) Using the information (p-value = 0.000), which model is consistent or preferred and what assumption does it consider?

Answer rating: 100% (QA)

a The test conducted to decide between the fixed effects model and random effects model could be the ... View the full answer