Year | Area code | GovIntervene | AnyGovIntervene | Dependent Variable |
2019 | 119 | 0 | 0 | 4 |
2018 | 119 | 6 | 1 | 8 |
2017 | 119 | 8 | 1 | 6 |
2019 | 120 | 9 | 1 | 8 |
2018 | 120 | 0 | 0 | 9 |
2017 | 120 | 0 | 0 | 23 |
And the model looks like this:
Dependent variable = A + BGovIntervene + Fixed effect for area code + fixed effect for year
or
Dependent variable = A + BAnyGovIntervene + Fixed effect for area code + fixed effect for year
Where the variable “AnyGovIntervene” is a dummy variable of “GovIntervene”. What difference would these 2 models have in terms of what the regression output would show?
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