lol yeah it does seem like extra work at first! But panel data is actually super powerful. Imagine you’re studying how education affects income. With cross-section data, you just see income vs. education at one time. But with panel data, you can see how someone’s income changes *after* they get more education.
Big difference, right?
Downside: It’s messy. Missing data, attrition (people dropping out), etc. But worth it if you wanna get closer to causality.
PS: "Panel Data Econometrics" by Wooldridge is a solid read if you’re serious about this.
Big difference, right?
Downside: It’s messy. Missing data, attrition (people dropping out), etc. But worth it if you wanna get closer to causality.
PS: "Panel Data Econometrics" by Wooldridge is a solid read if you’re serious about this.