Finally, fixed individual unobserved characteristics might not be what we should be worried about.
If data for additional years were available in the panel structure, we may however obtain additional information regarding fixed individual and household characteristics.
Again, let I i be a random, but fixed, individual.
Thus, we assume that labour supply is a function (which is allowed to vary across hours) of individual characteristics (which are fixed irrespective of hours), and a function (which is fixed across hours, but varies across programmes) of characteristics of alternative combinations of programmes and hours (which vary across hours and programmes).
In addition, we control for individual characteristics and hospital fixed effects.
After controlling for individual characteristics and state fixed effects in the second and third regressions, we find even greater evidence of earnings losses associated with switching out of entrepreneurship and large negative earnings losses from switching into entrepreneurship from wage labor.
Finally, the results in column (5) control for individual characteristics, primary diagnosis, and hospital fixed effects.
The estimates in column (5) control for individual characteristics, the full diagnosis vector, and hospital fixed effects, which is our preferred set of controls.
The results in column (5), which control for individual characteristics, the full diagnosis vector, and hospital fixed effects, show the uninsured are getting about 8% fewer procedures.
