Dear all,

I'm working with a unbalanced panel data set with 208500 observations from 3371 firms in the period 2011-2019.
My variable of interest is a measure of overconfidence, a dummy variable which takes the value of 0 and 1, and is almost time-invariant. My dependent variable is a ratio of the amount of shares repurchased divided by the total amount of shares outstanding.


I want to run a xttobit regression due to the fact that I work with panel data, however xttobit doesn't allow vce(cluster clustervarname), therefore I'm considering running a normal tobit which does allow clustering at firmlevel. Is their a command which controls for the panel data structure and allows vce cluster? or should I still go for xttobit?

I really hope somebody could help me out!

Kind regards,
Erwin van Kooten