EconBase
← All papers

A Consistent LM Type Specification Test for Semiparametric Panel Data Models

Ivan Korolev

arXiv 12 Sep 2019 · Econometrics

arXiv:1909.05649 · PDF · DOI · OpenAlex · Extracted main text

Abstract

This paper develops a consistent series-based specification test for semiparametric panel data models with fixed effects. The test statistic resembles the Lagrange Multiplier (LM) test statistic in parametric models and is based on a quadratic form in the restricted model residuals. The use of series methods facilitates both estimation of the null model and computation of the test statistic. The asymptotic distribution of the test statistic is standard normal, so that appropriate critical values can easily be computed. The projection property of series estimators allows me to develop a degrees of freedom correction. This correction makes it possible to account for the estimation variance and obtain refined asymptotic results. It also substantially improves the finite sample performance of the test.

Citation extraction

21
references
39
in-text mentions
21
distinct cited
1
self-citations
16,927
main-text words

appendix boundary found by none_found · 100% of the source is main text. Read the extracted text to check this.

Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Korolev, I (2019) A Consistent LM Type Specification Test for Semiparametric Models self1.00074100%
2Baltagi, B. H. and D. Li (2002) Series Estimation of Partially Linear Panel Data Models with Fixed Effects0.92843100%
3Donald, S. G., G. W. Imbens, and W. K. Newey (2003) Empirical likelihood estimation and consistent tests with conditional moment restrictions0.81142100%
4Baltagi, B. H. and S. Khanti-Akom (1990) On efficient estimation with panel data: An empirical comparison of instrumental variables estimators0.73732100%
5Cornwell, C. and P. Rupert (1988) Efficient estimation with panel data: An empirical comparison of instrumental variables estimators0.73732100%
6An, Y., C. Hsiao, and D. Li (2016) Semiparametric Estimation of Partially Linear Varying Coefficient Panel Data Models, in0.64422100%
7Lin, Z., Q. Li, and Y. Sun (2014) A consistent nonparametric test of parametric regression functional form in fixed effects panel data models0.64422100%
8Ai, C. and Q. Li (2008) Semi-parametric and Non-parametric Methods in Panel Data Models, in0.40511100%
9Arellano, M (2003) Panel data econometrics0.40511100%
10Baltagi, B (2013) Econometric analysis of panel data0.40511100%

Showing the top 10 of 21 scored citations.