ilikemath
In economics, panel data analysis is used to study the behavior of firms and wages of people over time。With repeated observations of enough cross-sections, panel analysis permits the researcher to study the dynamics of change with short time series. The combination of time series with cross-sections can enhance the quality and quantity of data in ways that would be impossible using only one of these two dimensions (Gujarati, 638). Panel analysis can provide a rich and powerful study of a set of people, if one is willing to consider both the space and time dimension of the data.