use union_panel.dta xtset id year xtsum wage union experience
eststo: xtreg wage experience union i.year, fe eststo: xtreg wage experience union i.year, re esttab using panel_results.rtf, replace mtitles("FE" "RE") se For interpretation, compute marginal effects: stata panel data
To check balance explicitly:
xtserial wage experience union Random effects assumes the unobserved panel effects are uncorrelated with your regressors. This is a strong assumption but allows inclusion of time-invariant variables. use union_panel