Hi Neha,              I think the choice of whether to integrate a dummy variable or not depends on the objective of your research. What are you searching for?. Have your companies been randomly selected(then a GLS with  random effect is feasible) or constituted firms within a confined region: which you all choose(then a GLS with Fixed effect is feasible). From results of the Hausman  test, estimates by OLS are efficient but not consistent: indicating the absence of endogeneity and vailidity of a GLS with Random effect. I can't really be of help untill I understand the essence of integrating a dummy variable in your research objective. ________________________________ From: Neha Kalra <nehakalra56(a)yahoo.co.in&gt; To: gretl-users(a)lists.wfu.edu Sent: Sunday, October 30, 2011 4:01 PM Subject: [Gretl-users] panel regression result interpretation Hello to all Gretl users, i need help regarding to panel regression that i m running on the data of 49 companies over 5 years.. disclosure score have been assigned to each company is my dependent variable and i m seeing relation of this with diffrent variable like assets, debt to eqity ratio, working capital etc.... I have run a random effect model without dummies... following is the result of regression.. : Random-effects (GLS), using 245 observations Included 49 cross-sectional units Time-series length = 5 Dependent variable: Disclosurescore     Coefficient Std. Error t-ratio p-value   const 54.6399 2.44263 22.3693 <0.00001 *** Income 0.000300548 0.000284884 1.0550 0.29251   Assets 2.47402e-05 0.000143089 0.1729 0.86288   ROCE 0.339813 0.136887 2.4824 0.01374 ** RONW -0.305412 0.101727 -3.0023 0.00297 *** Debttoequityrat -2.91992e-05 0.000943001 -0.0310 0.97532   PBITNetofP_E_Av -0.275439 0.0929244 -2.9641 0.00335 *** Profitaftertax 0.000338873 0.00199357 0.1700 0.86517     Mean dependent var  53.76539   S.D. dependent var  14.85426 Sum squared resid  48314.62   S.E. of regression  14.24790 Log-likelihood -994.9583   Akaike criterion  2005.917 Schwarz criterion  2033.927   Hannan-Quinn  2017.196                 'Within' variance = 60.0887             'Between' variance = 146.644             theta used for quasi-demeaning = 0.713727 Breusch-Pagan test -  Null hypothesis: Variance of the unit-specific error = 0  Asymptotic test statistic: Chi-square(1) = 193.78  with p-value = 4.75747e-044   Hausman test -  Null hypothesis: GLS estimates are consistent  Asymptotic test statistic: Chi-square(7) = 11.5898  with p-value = 0.114882     now i dont knw that whether i have to use interpret these beta coefficients as any other variable or else & whether to use dummy variable or not... I m also attaching with ths mail my data file in gretl.. Plz anyone help .. Thanks in advance _______________________________________________ Gretl-users mailing list Gretl-users(a)lists.wfu.edu http://lists.wfu.edu/mailman/listinfo/gretl-users