Hi everyone!
I am trying to understand psmatch2 and wanted help with a few things.
The problem:
I am trying to match control firms based on a specific industry in a certain year (2019). From the various post on stata i have realised that this can be done by the following steps
step 1 : Obtain a propensity score based on industry and specific year
step2 : Use that pscore in the psmatch2 command
step 3: run your regression
I am facing problems in step 1 : How can i obtain the pscore based on industry from a specific year? Could you please specify which regression would i use ?
I am following this link:
The commands i am trying right now are
My reference year which i want to match my control firm is 2019.
Any help comments would be greatly appreciated!
I am trying to understand psmatch2 and wanted help with a few things.
The problem:
I am trying to match control firms based on a specific industry in a certain year (2019). From the various post on stata i have realised that this can be done by the following steps
step 1 : Obtain a propensity score based on industry and specific year
step2 : Use that pscore in the psmatch2 command
step 3: run your regression
I am facing problems in step 1 : How can i obtain the pscore based on industry from a specific year? Could you please specify which regression would i use ?
I am following this link:
HTML Code:
https://www.statalist.org/forums/forum/general-stata-discussion/general/1669473-how-to-use-results-of-psmatch2-in-regression
Code:
logit treated INDUSTRY if year == 2019
Code:
predict double ps
Code:
psmatch2 treated if year == 2019, outcome(WACC) pscore(ps) neighbor(1) caliper (0.01)
Any help comments would be greatly appreciated!
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