So far this week all of my attempts to work on my project have been interrupted by homework for other classes. Hopefully progress will be made between now and the weekend. What I want to accomplish is a very broad outline of what I need to do, and what I am working towards. I’ll attempt to do this informally below, and then clean it up later.

What I have done so far is break the simplest form of the panel data model down into terms of x’s and y’s. What I’d like to do next is write out why the panel data model is awesome, and back it mathematically (in an informal way). Then I need to break down specific variations of the model, and explain them. Finally, I was told that I can prove that the variance in a panel data regression is less than that of an ordinary least squares regression, and I think that doing this may add necessary mathematical rigor. When I finally have what I plan on doing completely laid out, I’ll meet with Prof. Munson again to see if I need to make any changes.