我看到一篇文章,里面说将变量对其平均值demeaned,这样就能起到控制固定效应的作用。请问,demeaned是一种怎么样的数据处理方法?
原文如下:
The first model in Holmes (1999) is specified as:
PII*=aEMP*+u*
where the asterisk means that the variable is demeaned by its industry average. By demeaning the variables, this specification controls for industry fixed effects.