This week I finished breaking down the simplest form of the panel data model and typed it up in LaTeX. At first I wanted to write it all out without using any variables other than x’s and y’s. However, doing so made matrices that were too large to fit on a page. Thus I wrote out each variable so that it could be understood what was going into them. The results can be seen in the attached PDF.

## Archive for February, 2011

Last weekend I participated in the Mathematical Competition in Modeling (MCM). This event took place over a 96-hour period starting on Thursday night at 5 Pm and ending Monday night at 5 PM. Having dedicated my entire weekend (and then some) to this endeavor, I was thus forced to spend the rest of the week playing catch up on my homework. Consequently, very little progress was made on my capstone project.

Over the next week I hope to finish constructing the basic forms of the panel data model at their simplest levels. I then will type them using LaTeX so they are easier to read and understand.

Over winter break and J-Term I thought of my capstone project seldom and worked on it even less. However, towards the end of J-Term I did make a trip to PLU’s library. I checked out three books on data analysis and panel data modeling, and began breaking the panel data model down to its simplest form. Ironically, its “simplest” form was too big to fit on a single piece of paper, and involved several matrices filled with summations.

One interesting thing that I learned was that the basic form of the panel data model actually has four variations, each based on its own set of assumptions. Needless to say I have a lot of work ahead of me.

I also met with Professor Munson last Wednesday to discuss the error term of the basic form(s) of the panel data model. We agreed we needed to do some more research and meet again at a later time.