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  • Finding matches based on exact industry

    Dear Statalist,

    I'm currently working on my master dissertation, and I'm facing difficulties in finding the appropriate codes for what seems like a relatively simple problem. I kindly request the assistance of anyone who has experience in this topic. Your support would be very meaningful to me.

    In my dataset, I have 892 treated firms and 49.256 control firms. I aim to match each treated firm with a control firm based on an exact match of NACE code as well as match on the nearest propensity score based on operating profit and total debt. I want each treated firm to be matched with a control firm with the same NACE code but when I use excact I get an error. If anyone has a workaround for this, it would be greatly appreciated or has a code, that would work in getting around this problem, it would be greatly appreciated. I've tried looping as well, but didn't succeed.

    Below is my current code for matching:

    Code
    psmatch2 treated opprofit totdebt ///
    neighbor(10) exact(nacecode_num)


    Thank you very much in advance.

  • #2
    Do yourself a favour and use kmatch.
    Code:
    ssc install kmatch, replace
    kmatch ps treated opprofit totdebt, ematch(nacecode_num) nn(10)
    https://www.stata.com/meeting/uk17/slides/uk17_Jann.pdf
    Best wishes

    (Stata 16.1 MP)

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