Econometric Errors in an _Applied Economics_ Article

This comment points out some econometric errors contained in an Applied Economics article by Mavrommati and Papadopoulos (2005), to wit, the authors make an incorrect statement about the standard F-test; they claim erroneously that the Durbin-Watson test is irrelevant in panel data; they fail to test for serial correlation and random-walk errors; and they misuse the Durbin-Wu-Hausman test for the consistency of the fixed-effects estimator. Thus, their results are questionable. This comment aims to prevent novice researchers from repeating these errors, and to police standards at the journals.