In econometrics and statistics, a fixed effects model is a statistical model that represents the observed quantities in terms of explanatory variables that are treated as if the quantities were non-random. This is in contrast to random effects models and mixed models in which either all or some of the explanatory variables are treated as if they arise from random causes. Contrast this to the biostatistics definitions, as biostatisticians use “fixed” and “random” effects to respectively refer to the population-average and subject-specific effects (and where the latter are generally assumed to be unknown, latent variables). Often the same structure of model, which is usually a linear regression model, can be treated as any of the three types depending on the analyst’s viewpoint, although there may be a natural choice in any given situation. … Fixed Effects Model

# If you did not already know: “Fixed Effects Model”

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