Transition Matrix

[Ayesha Bukar]

Hello Statalist,

I have benefitted a lot from the questions and answers in this forum and this is my first post.

I am trying to figure out how best to analyse the following:

So, I am working with three variables here: emp which is employment, self (self-employment) and wage (wage-employment)

xttrans emp, freq

so xx% gained employment and xx% lost their jobs.

Here's my predicament: "Of these xx% who gained employment", what % went into self or wage employment?

How do I identify these people and tell stata to analyse results for what type of employment "these individuals" who gained employment went into?

Please let me know if this isn't still clear.

[Clyde Schechter]

So you need to create a single variable with 3 levels: 0 for unemployed, 1 for self-employed, and 2 for wage employed. Then run -xttrans- on that variable.

[Ayesha Bukar]

Thanks Clyde, it worked perfectly.

[Diego Binayan]

Hi! Im using the xttrans command to get the transitions matrix. It worked perfect. Now I need to do a graph where in x I have the year and in y I have three variables. I mean, I need three axis in the same place (as an y variable): the first the probability of having started as salaried and transitioned to self-employed (with employees), the second is the same as before but without employees and the third the mean schooling of the transitioned people from salaried to self-employed. Can you help me? Thanks in advance!