Explain/justify the model specification which you use and discuss your results.

Panel model in Rstudio

Given the provided data, devise and estimate an appropriate panel model with which to investigate the determinants of FDI flows (from Germany to other countries), for a single industry (it does not matter which industry code you choose).

Explain/justify the model specification which you use and discuss your results.

State any limitations of the empirical analysis that we have to consider.