Hi all
I want to test the association between childhood behaviour at age 6 years and earnings at age 36 (n=1000). The behavioural assessments were obtained from teachers when the children were aged 6. I want to control for clustering in the behavioural assessments at the school and classroom levels, although I’m not testing predictors at those levels. From what I understand, the mixed model is better although I would only report the fixed effects estimates, not the random effects, which seems amounts to a regular regression (with adjusted SE estimates). What are the pros and cons of using a mixed effects model vs. the cluster command? The advantage of the cluster command is simplicity and that I can still report standardised betas. Any suggestions welcome. See examples below – they produce similar results.
Many thanks
mixed OUTCOME behav1 behav2 etc || school: || Class:, vce(robust)
egen double_cluster=group (school class)
regress OUTCOME behav1 behav2 etc, vce(cluster double_cluster) robust
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