Here I follow what has been done in the xtreg documentation
Code:
webuse nlswork, clear xtset idcode xtreg ln_w grade age c.age#c.age ttl_exp c.ttl_exp#c.ttl_exp tenure c.tenure#c.tenure 2.race not_smsa south, fe
Code:
ereturn list
However, if I run the following regression
Code:
areg ln_w grade age c.age#c.age ttl_exp c.ttl_exp#c.ttl_exp tenure c.tenure#c.tenure 2.race not_smsa south, absorb(idcode)
I do not understand why. Thanks for your answers
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