Panel Data in Economic Research Cover Image

Panel Data in Economic Research
Panel Data in Economic Research

Author(s): Gema Ugalde, Violena Nencheva
Subject(s): Social Sciences, Economy, Supranational / Global Economy, Sociology, Methodology and research technology, Economic development, Socio-Economic Research
Published by: Университет за национално и световно стопанство (УНСС)
Keywords: panel data; fixed effects; random effects; specifications tests

Summary/Abstract: This article reviews recent literature (2020 – 2025) on the use of panel data econometrics in economic research, with a focus on growth-related studies in Latin American economies. Using an exploratory-descriptive review design and searches in Google Scholar, Elsevier, Dialnet, and Redalyc, the paper synthesises core panel specifications and estimation approaches. It outlines the general linear panel model and discusses pooled OLS, fixed effects (including LSDV, within, and first-difference estimators), and random effects (error-components) models, highlighting their assumptions, strengths, and limitations. The review also summarises key specifications and diagnostic tests commonly used in applied work (e.g., Breusch–Pagan/LM, Hausman, Wooldridge, and tests for heteroscedasticity). Finally, the article briefly introduces dynamic panel models (Arellano–Bond type GMM) and panel cointegration frameworks, which are frequently, employed extensions in growth-oriented empirical research.

  • Issue Year: LXV/2025
  • Issue No: 2
  • Page Range: 123-146
  • Page Count: 23
  • Language: English
Toggle Accessibility Mode