What is the difference between balanced and unbalanced panels? A)unbalanced panels have some observations missing,balanced do not B)balanced panels are demographically representative of the population being studied,unbalanced are not C)balanced panels have an equal number of observations above and below the mean of the dependent variable,unbalanced panels are skewed D)a balanced panel has T = N,an unbalanced panel has NT or N

Question

What is the difference between balanced and unbalanced panels?
A)unbalanced panels have some observations missing,balanced do not
B)balanced panels are demographically representative of the population being studied,unbalanced are not
C)balanced panels have an equal number of observations above and below the mean of the dependent variable,unbalanced panels are skewed
D)a balanced panel has T = N,an unbalanced panel has N>T or N<T

Quizplus · Accepted Answer

Balanced panels have all individuals (or entities) observed at each time period, meaning no observations are missing. Unbalanced panels, on the other hand, have some observations missing for certain individuals (or entities) at some time periods.

What Is the Difference Between Balanced and Unbalanced Panels