.

xtset id year
panel variable: id (strongly balanced)
time variable: year, 87 to 93, but with gaps
delta: 1 unit

. reg mrdrte d93 exec unem

Source SS df MS Number of obs = 153

F( 3, 149) = 3.31
Model 803.533831 3 267.84461 Prob > F = 0.0217
Residual 12041.8043 149 80.8174784 R-squared = 0.0626
Adj R-squared = 0.0437
Total 12845.3381 152 84.5088034 Root MSE = 8.9899

mrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 .3346497 1.556144 0.22 0.830 -2.740311 3.40961

exec .1631211 .1946881 0.84 0.403 -.221585 .5478273
unem 1.247488 .4419589 2.82 0.005 .3741709 2.120804
_cons .3071056 2.702561 0.11 0.910 -5.033191 5.647402

. reg mrdrte d93 exec unem, vce(robust)

Linear regression Number of obs = 153
F( 3, 149) = 11.72
Prob > F = 0.0000
R-squared = 0.0626
Root MSE = 8.9899

Robust
mrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 .3346497 1.571531 0.21 0.832 -2.770716 3.440015

exec .1631211 .1106776 1.47 0.143 -.0555792 .3818214
unem 1.247488 .4639914 2.69 0.008 .3306346 2.164341
_cons .3071056 2.461912 0.12 0.901 -4.557666 5.171877

. xtreg mrdrte d93 exec unem,fe

Fixed-effects (within) regression Number of obs = 153

Group variable: id Number of groups = 51

R-sq: within = 0.0321 Obs per group: min = 3

between = 0.0155 avg = 3.0
overall = 0.0017 max = 3

F(3,99) = 1.10
corr(u_i, Xb) = -0.1275 Prob > F = 0.3545

mrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 1.059537 .6321543 1.68 0.097 -.1947945 2.313868

exec -.1515224 .1798694 -0.84 0.402 -.5084224 .2053776
unem .0066038 .2826407 0.02 0.981 -.5542167 .5674244
_cons 7.864148 1.674853 4.70 0.000 4.540875 11.18742

sigma_u 8.8485662
sigma_e 3.580676
rho .85929026 (fraction of variance due to u_i)

F test that all u_i=0: F(50, 99) = 16.80 Prob > F = 0.0000

. reg cmrdrte d93 cexec cunem

Source SS df MS Number of obs = 102

F( 3, 98) = 0.84
Model 46.7620386 3 15.5873462 Prob > F = 0.4736
Residual 1812.28688 98 18.4927233 R-squared = 0.0252
Adj R-squared = -0.0047
Total 1859.04892 101 18.406425 Root MSE = 4.3003

cmrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 -1.296717 1.016118 -1.28 0.205 -3.313171 .7197368

cexec -.1150682 .1473871 -0.78 0.437 -.407553 .1774167
cunem .1630854 .3079049 0.53 0.598 -.447942 .7741127
_cons 1.51099 .6608967 2.29 0.024 .1994622 2.822518
. reg cmrdrte cexec cunem

Source SS df MS Number of obs = 102

F( 2, 99) = 0.45
Model 16.6456628 2 8.32283142 Prob > F = 0.6407
Residual 1842.40326 99 18.6101339 R-squared = 0.0090
Adj R-squared = -0.0111
Total 1859.04892 101 18.406425 Root MSE = 4.3139

cmrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

cexec -.1313545 .1472989 -0.89 0.375 -.4236274 .1609185

cunem -.0447929 .2621146 -0.17 0.865 -.5648852 .4752994
_cons .8668883 .4280119 2.03 0.046 .0176198 1.716157

. xtreg mrdrte d93 exec unem,fe

Fixed-effects (within) regression Number of obs = 153

Group variable: id Number of groups = 51

R-sq: within = 0.0321 Obs per group: min = 3

between = 0.0155 avg = 3.0
overall = 0.0017 max = 3

F(3,99) = 1.10
corr(u_i, Xb) = -0.1275 Prob > F = 0.3545

mrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 1.059537 .6321543 1.68 0.097 -.1947945 2.313868

exec -.1515224 .1798694 -0.84 0.402 -.5084224 .2053776
unem .0066038 .2826407 0.02 0.981 -.5542167 .5674244
_cons 7.864148 1.674853 4.70 0.000 4.540875 11.18742

sigma_u 8.8485662
sigma_e 3.580676
rho .85929026 (fraction of variance due to u_i)

F test that all u_i=0: F(50, 99) = 16.80 Prob > F = 0.0000
. xtreg mrdrte d93 exec unem,fe

Fixed-effects (within) regression Number of obs = 153

Group variable: id Number of groups = 51

R-sq: within = 0.0321 Obs per group: min = 3

between = 0.0155 avg = 3.0
overall = 0.0017 max = 3

F(3,99) = 1.10
corr(u_i, Xb) = -0.1275 Prob > F = 0.3545

mrdrte Coef. Std. Err. t P>|t| [95% Conf. Interval]

d93 1.059537 .6321543 1.68 0.097 -.1947945 2.313868

exec -.1515224 .1798694 -0.84 0.402 -.5084224 .2053776
unem .0066038 .2826407 0.02 0.981 -.5542167 .5674244
_cons 7.864148 1.674853 4.70 0.000 4.540875 11.18742

sigma_u 8.8485662
sigma_e 3.580676
rho .85929026 (fraction of variance due to u_i)

F test that all u_i=0: F(50, 99) = 16.80 Prob > F = 0.0000

. estimates store fe

. xtreg mrdrte d93 exec unem,re

Random-effects GLS regression Number of obs = 153

Group variable: id Number of groups = 51

R-sq: within = 0.0255 Obs per group: min = 3

between = 0.0272 avg = 3.0
overall = 0.0149 max = 3

Wald chi2(3) = 3.04

corr(u_i, X) = 0 (assumed) Prob > chi2 = 0.3852

mrdrte Coef. Std. Err. z P>|z| [95% Conf. Interval]

d93 .9346338 .6381367 1.46 0.143 -.3160912 2.185359

exec -.0620007 .1621396 -0.38 0.702 -.3797884 .2557871
unem .1808487 .2737481 0.66 0.509 -.3556878 .7173851
_cons 6.754982 1.99778 3.38 0.001 2.839406 10.67056

sigma_u 8.1971161
sigma_e 3.580676
rho .83976243 (fraction of variance due to u_i)
. estimates store re

. xttest0

Breusch and Pagan Lagrangian multiplier test for random effects

mrdrte[id,t] = Xb + u[id] + e[id,t]

Estimated results:
Var sd = sqrt(Var)

mrdrte 84.5088 9.192867

e 12.82124 3.580676
u 67.19271 8.197116

Test: Var(u) = 0
chibar2(01) = 98.73
Prob > chibar2 = 0.0000

. hausman fe re

Coefficients
(b) (B) (b-B) sqrt(diag(V_b-V_B))
fe re Difference S.E.

d93 1.059537 .9346338 .1249028 .

exec -.1515224 -.0620007 -.0895217 .0778702
unem .0066038 .1808487 -.1742448 .0703403

b = consistent under Ho and Ha; obtained from xtreg

B = inconsistent under Ha, efficient under Ho; obtained from xtreg

Test: Ho: difference in coefficients not systematic

chi2(3) = (b-B)'[(V_b-V_B)^(-1)](b-B)
= 7.88
Prob>chi2 = 0.0485
(V_b-V_B is not positive definite)