Economics at your fingertips  

Regression Analysis of Country Effects Using Multilevel Data: A Cautionary Tale

Mark Bryan () and Stephen Jenkins ()

No 7583, IZA Discussion Papers from Institute for the Study of Labor (IZA)

Abstract: Cross-national differences in outcomes are often analysed using regression analysis of multilevel country datasets, examples of which include the ECHP, ESS, EU-SILC, EVS, ISSP, and SHARE. We review the regression methods applicable to this data structure, pointing out problems with the assessment of country-level factors that appear not to be widely appreciated, and illustrate our arguments using Monte-Carlo simulations and analysis of women's employment probabilities and work hours using EU SILC data. With large sample sizes of individuals within each country but a small number of countries, analysts can reliably estimate individual-level effects within each country but estimates of parameters summarising country effects are likely to be unreliable. Multilevel (hierarchical) modelling methods are commonly used in this context but they are no panacea.

Keywords: multilevel modelling; cross-national comparisons; country effects (search for similar items in EconPapers)
JEL-codes: C52 C81 O57 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-ltv
Date: 2013-08
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (19) Track citations by RSS feed

Published in European Sociological Review, 32 (1), February 2016, 3–22, doi: 10.1093/esr/jcv059

Downloads: (external link) (application/pdf)

Related works:
Working Paper: Regression analysis of country effects using multilevel data: a cautionary tale (2013) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany

Access Statistics for this paper

More papers in IZA Discussion Papers from Institute for the Study of Labor (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Series data maintained by Mark Fallak ().

Page updated 2018-03-09
Handle: RePEc:iza:izadps:dp7583