On the use of the Helmert Transformation, and its applications in panel data econometrics

Kolev, Gueorgui I. and Azacis, Helmuts ORCID: https://orcid.org/0000-0002-6061-2100 2023. On the use of the Helmert Transformation, and its applications in panel data econometrics. Journal of Econometric Methods 12 (1) , pp. 131-138. 10.1515/jem-2021-0023

Preview

PDF - Published Version Download (238kB) | Preview

Abstract

We revisit the Helmert transformation, and provide a useful and simple derivation of the joint distribution of the sample mean and the sample variance in samples from independently and identically distributed normal random variables. Our derivation is distinguished by concreteness, very little abstractness, and should be appealing to beginning students of statistics, and to both beginning and advanced students of econometrics. We also highlight one fruitful application of the Helmert transformation in panel data econometrics. The Helmert transformation can be used to eliminate the fixed effects in the estimation of fixed effects models, and we briefly review this application of the transformation in the panel data context.

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics)
Publisher:	De Gruyter
ISSN:	2156-6674
Date of First Compliant Deposit:	6 October 2022
Date of Acceptance:	9 September 2022
Last Modified:	13 Nov 2024 11:00
URI:	https://orca.cardiff.ac.uk/id/eprint/153104

Actions (repository staff only)

Edit Item