Dealing with endogeneity bias: the generalized method of moments (GMM) for panel data
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GMM is best suited to control autocorrelation among independent variables and error terms.
“GMM is best suited to control autocorrelation among independent variables and error terms, which might affect the results' accuracy [65].”
From Do institutional governance and state fragility affect institutional quality in Asian economies? (2023) · cites this paper as [65]
The Introduction (p. 5) defines endogeneity as correlation between an explanatory variable and the error term, and the GMM discussion (p. 25) says GMM addresses endogeneity. But the paper uses “autocorrelation” for error terms across time and describes the Arellano–Bond test (p. 27) as a check for it; it does not say GMM is best suited to control autocorrelation among independent variables and error terms. (LLM, conf=0.85)
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“GMM is best suited to control autocorrelation among independent variables and error terms, which might affect the results’ accuracy [65].”
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- Authors
- Ullah, S., Akhtar, P., & Zaefarian, G.
- Affiliations
- University of Hull (GB)
- University of Leeds (GB)
- Corresponding author
- Ullah, Subhan
- Venue
- Industrial Marketing Management
- Publisher
- Elsevier BV
- Published
- 2018-05
- Volume
- 71
- Pages
- 69-78
- ISSN
- 0019-8501 (ISSN-L)
- OpenAlex
- W2780744508
- Cited by
- 1,101
- References
- 45
- Citations by year
- 2026: 151 · 2025: 184 · 2024: 212 · 2023: 175 · 2022: 143 · 2021: 135 · 2020: 71 · 2019: 22 · 2018: 8
- FWCI
- 89.85
- Type
- journal article
- Language
- en
- Open access
- Licence
- Locations
- Industrial Marketing Management (publishedVersion)
- White Rose Research Online (University of Leeds, The University of Sheffield, University of York) (acceptedVersion)
- Kent Academic Repository (University of Kent) (acceptedVersion)
- Repository@Nottingham (University of Nottingham) (acceptedVersion, other-oa)
- Repository@Hull (Worktribe) (University of Hull) (submittedVersion, cc-by)
- Repository@Nottingham (University of Nottingham) (submittedVersion, cc-by-nc-nd)
- Topics
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Spatial and Panel Data Analysis
- Physical Sciences › Mathematics › Statistics and Probability › Advanced Causal Inference Techniques
- Physical Sciences › Mathematics › Statistics and Probability › Statistical Methods and Bayesian Inference
- Keywords
- endogeneity bias, generalized method of moments, panel data, unobserved heterogeneity, simultaneity, R&D investment, corporate governance, firm performance, listed companies, marketing research methodology
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