This article provides an overview of the existing literature on panel data models with error cross-sectional dependence (CSD). We distinguish between weak and strong CSD and link these concepts to the spatial and factor structure approaches. We consider estimation under strong and weak...

It is shown how the usual two-step estimator for the standard sample selection model can be seen as a method of moments estimator. Standard GMM theory can be brought to bear on this model, greatly simplifying the derivation of the asymptotic properties of this model. Using this setup, the...