I am an economist interested in looking at panel data on mothers, their husbands and their grandparents to determine the effect of the economic shock of the recession on their self-reported health outcomes.
Initially I had planned to fit fixed-effect models in order to control for fixed individual differences.
However, thinking on this further, as my analysis will consider the effects of economic shocks on health outcomes of all adults in this dataset at baseline and then ten years later, I wonder if family should be included as a random factor in order to account for potential correlations between related individuals.
Thus, should the analyses be undertaken using a linear mixed model? Any insights you could provide on this would be great!