first of all - I am not really into regression analysis (I have performed some linear regressions) and my statistic/econometric skills are more or less elementary.
I have panel data (several countries over a certain time period) and I would like to apply a formula such as this:
Source: Button, Ngoe and Hine (1993)
The authors state that this is a "quasi"-logistic function. Now is there some sort of literature on logistic/quasi-logistic models that is easily understandable? Especially: how do I calculate these country specific constants c?
All that is said in the paper on this part is:
Cross-sectionally, countries vary in many ways which are impossible to quantify. In order to allow for these local features a set of dummy variables (c), one for each country, is included in the model. These take the values of unity if an observation relates to a country and zero otherwise. They are specified so that th error term varies across countries.
Thank you very much!