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I have a question about to lag (vt).
We lagged all independent variables.
Does it means that all independent variables will change from time t to t+1, or will change from time t to t-1 instead?
According to the meaning of "independent variables", it should mean these independent variables should change from time t to t-1, but it confuses me that whether to lag something means to make something earlier, or to make something after instead.
The is from a journal paper:
Ahuja, G., Polidoro, F., & Mitchell, W. 2009. Structural homophily or social asymmetry? The formation of alliances by poorly embedded firms. Strategic Management Journal, 30(9): 941-958.
The sentence is in p.947, right column, 3rd paragraph
I find this not sensible as well, but I have seen similar usage of the word "lag", to mean making something earlier, in other journal papers too.
t-1 seems more likely to me.
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