Estimation of common breaks in linear panel data models via screening and ranking algorithm

Abstract In this paper, we consider the estimation of common breaks for linear panel data models by means of screening and ranking algorithm. For static and dynamic panel data models, we estimate the regression coefficients using covariance estimation and generalized method of moments, respectively,...

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Main Authors: Fuxiao Li, Yanting Xiao, Zhanshou Chen
Format: Article
Language:English
Published: Nature Portfolio 2025-04-01
Series:Scientific Reports
Subjects:
Online Access:https://doi.org/10.1038/s41598-025-96322-x
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author Fuxiao Li
Yanting Xiao
Zhanshou Chen
author_facet Fuxiao Li
Yanting Xiao
Zhanshou Chen
author_sort Fuxiao Li
collection DOAJ
description Abstract In this paper, we consider the estimation of common breaks for linear panel data models by means of screening and ranking algorithm. For static and dynamic panel data models, we estimate the regression coefficients using covariance estimation and generalized method of moments, respectively, and apply a screening and ranking algorithm on this basis. The possible break points are first screened by constructing local statistics based on the coefficient estimators, then further screened by the thresholding rule, and finally the final break points are screened by the information criterion. Monte Carlo simulations demonstrate that the proposed methods work well in finite samples. We apply the screening and ranking algorithm to study the influence of rural residents’ consumption demand on China’s economic growth using a panel of 31 provinces from 2005 to 2023 and find a break point in the model.
format Article
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institution DOAJ
issn 2045-2322
language English
publishDate 2025-04-01
publisher Nature Portfolio
record_format Article
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spelling doaj-art-3d6dc40122aa437baabced5938d122fc2025-08-20T03:04:58ZengNature PortfolioScientific Reports2045-23222025-04-0115111610.1038/s41598-025-96322-xEstimation of common breaks in linear panel data models via screening and ranking algorithmFuxiao Li0Yanting Xiao1Zhanshou Chen2Department of Applied Mathematics, Xi’an University of TechnologyDepartment of Applied Mathematics, Xi’an University of TechnologySchool of Mathematics and Statistics, Qinghai Normal UniversityAbstract In this paper, we consider the estimation of common breaks for linear panel data models by means of screening and ranking algorithm. For static and dynamic panel data models, we estimate the regression coefficients using covariance estimation and generalized method of moments, respectively, and apply a screening and ranking algorithm on this basis. The possible break points are first screened by constructing local statistics based on the coefficient estimators, then further screened by the thresholding rule, and finally the final break points are screened by the information criterion. Monte Carlo simulations demonstrate that the proposed methods work well in finite samples. We apply the screening and ranking algorithm to study the influence of rural residents’ consumption demand on China’s economic growth using a panel of 31 provinces from 2005 to 2023 and find a break point in the model.https://doi.org/10.1038/s41598-025-96322-xLinear panel data modelsEstimation of break pointsScreening and ranking algorithmLocal statisticInformation criterion
spellingShingle Fuxiao Li
Yanting Xiao
Zhanshou Chen
Estimation of common breaks in linear panel data models via screening and ranking algorithm
Scientific Reports
Linear panel data models
Estimation of break points
Screening and ranking algorithm
Local statistic
Information criterion
title Estimation of common breaks in linear panel data models via screening and ranking algorithm
title_full Estimation of common breaks in linear panel data models via screening and ranking algorithm
title_fullStr Estimation of common breaks in linear panel data models via screening and ranking algorithm
title_full_unstemmed Estimation of common breaks in linear panel data models via screening and ranking algorithm
title_short Estimation of common breaks in linear panel data models via screening and ranking algorithm
title_sort estimation of common breaks in linear panel data models via screening and ranking algorithm
topic Linear panel data models
Estimation of break points
Screening and ranking algorithm
Local statistic
Information criterion
url https://doi.org/10.1038/s41598-025-96322-x
work_keys_str_mv AT fuxiaoli estimationofcommonbreaksinlinearpaneldatamodelsviascreeningandrankingalgorithm
AT yantingxiao estimationofcommonbreaksinlinearpaneldatamodelsviascreeningandrankingalgorithm
AT zhanshouchen estimationofcommonbreaksinlinearpaneldatamodelsviascreeningandrankingalgorithm