Hi,

I am trying to estimate the impact of directors' remuneration on firm performance. My unbalanced data set comprises 1696 firms and 16 time periods (in particular, years). I have 7 independent variables in total. For robustness purposes, I am using the between effects model (xtreg, be). Below is my model.

Code:
 
 xtreg Profitability4 Size2 Leverage1 CurrentRatio SalesGro CapitalExpenditure2 WPromoterSharesin1 AD_Totalremuneration, be
I checked for heteroskedasticity (using xttest3) and serial correlation (using xtserial) for my model and I found the presence of both. In addition, the between effects estimator in Stata (using xtreg, be) allows estimation of standard errors using three options: conventional, bootstrap and jackknife. Which method of estimating standard errors shall be most suitable for my between effects model?

Thanks!