{smcl}
{hline}
help for {hi:a2reg}
{hline}
{title:Estimates linear models with two fixed effects}
{p 8 27}
{cmdab:a2reg}
{it:depvar} {it:indepvars},
{cmdab:individual}{cmd:(}{it:varname}{cmd:)}
{cmdab:unit}{cmd:(}{it:varname}{cmd:)}
[
{cmdab:indeffect}{cmd:(}{it:name}{cmd:)}
{cmdab:uniteffect}{cmd:(}{it:name}{cmd:)}
{cmdab:xb}{cmd:(}{it:name}{cmd:)}
{cmdab:resid}{cmd:(}{it:name}{cmd:)}
]
{p}
{title:Description}
{p 0 0}
{hi:a2reg} estimates two-way fixed effects.
{it:individual} indexes the first
fixed effect, and {it:unit} indexes the second fixed effect. The dependent variable
is {it:depvar} and the covariates are in {it:indepvars}. At least one covariate
is mandatory.
{title:Identification constraints}
{p 0 0}
The identification constraints for the fixed effects are set by convention
such that the sum of individual effects is equal to zero and such that the
last unit fixed effect is zero.
{title:Output}
{p 0 0}
The program displays conventional output regression, along with Fisher
tests for the significance of fixed effects. However the computation of
confidence intervals is not computationally feasible, since it would require
the inversion of the variance-covariance matrix. Therefore confidence
intervals are not printed.
{title:Options}
{p 0 0}
{it:depvar} is the dependent variable. No missing observation is allowed.
{it:indepvars} lists explanatory variables. No missing observation is allowed.
{cmdab:individual}{cmd:(}{it:varname}{cmd:)} is the identifier for the first fixed effect.
{cmdab:unit}{cmd:(}{it:varname}{cmd:)} is the identifier for the second fixed effect.
{cmdab:indeffect}{cmd:(}{it:name}{cmd:)} is the name of the output variable for the first fixed effect.
{cmdab:uniteffect}{cmd:(}{it:name}{cmd:)} is the name of the output variable for the second fixed effect.
{cmdab:xb}{cmd:(}{it:name}{cmd:)} is the name of the output variable for the part predicted by the covariates.
{cmdab:resid}{cmd:(}{it:varname}{cmd:)} is the name of the output variable for the resid.
{title:Examples}
a2reg y x1 x2 , individual(personid) unit(firmid) indeffect(personeffect)
{title:Author}
{p}
Amine Ouazad, PhD Candidate of the Paris School of Economics,
and Research Associate, London School of Economics.
Webpage {browse "http://personal.lse.ac.uk/ouazad/"}
Email {browse "mailto:a.ouazad@lse.ac.uk":a.ouazad@lse.ac.uk}
{title:Acknowledgement}
{p}
This command started as a port of the FORTRAN cg program that was written
by {bf: Robert Creecy} for Unix platforms. It has now improved it in many ways,
providing Fisher tests, interfacing with STATA and commands such as bootstrap.
Please put the following reference in your paper.
Amine Ouazad, Program for the Estimation of Two-Way Fixed Effects, available at
http://personal.lse.ac.uk/ouazad/, 2007.
{title:Also see}
{help a2group} (if installed)