Hi Everyone,

When I use reghdfe and cluster my standard errors at the fixed effect level, my fixed effects become redundant and I got the following message

"* = FE nested within cluster; treated as redundant for DoF computation"

If I dont cluster, I get the same coefficients (of course with different standard errors) and do not get any warning about nested fixed effects.

Does anyone have an idea why I am seeing this? Thanks in advance.

Array