Appendix A panel data model can be

Appendix A panel data model can be represented by any of the three models including a pooled model, a variable intercept model and a variable coefficient model. The following hypothesis tests are conducted to determine the appropriate panel data model.H1 : β1 ¼ β2 ¼ ⋯ ¼ βN H2 : α1 ¼ α2 ¼ ⋯ ¼ αN; β1 ¼ β2 ¼ ⋯ ¼ βN First, one F-test is conducted between the variable coefficient and pooled models. The corresponding F-test statistic (denoted by F2) can be expressed by