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in the last video we talked about entity fixed effect now were talking about time fixed effect these are effects which are common for all the entities but differ across time so they are evolving across time equally across the entities one such uh example might be from our example of traffic safety that safety standards might change over time but they are equal across the whole country like in our national standard so to revert to our example we can just cut the effect of culture on on traffic deaths in our model and add some time fixed effect instead so what we have is the fatality rate and this is our y we have the beer tax this is our x we have the the slope the effect of a change in beer tax on fatality rate this is what we are looking for in our in our model we are looking for determining the causal effect of a change in bear tax on the fatality rate but what if there are some omitted variables which are common to all the entities its common to all these states but it might diff
