Hello Everyone,
I am estimating wage mobility from transition matrices across deciles, over 2 periods in the wage distribution. As such, I would like to generate dummy variables for individuals who moved upward, downwards or remained in the same income distribution using multinomial logit model. Please any idea on how I can ably generate categorical variables for these 3 categories? My data is 2 wave panel data for 2008 and 2010. I would like to use the transition matrix table below to generate the said dummy variables
. xttrans deciles_20_PR
5 |
quantiles | 5 quantiles of ln_wage
of ln_wage | 1 2 3 4 5 | Total
-----------+-------------------------------------------------------+----------
1 | 37.04 25.93 11.11 11.11 14.81 | 100.00
2 | 4.35 47.83 47.83 0.00 0.00 | 100.00
3 | 6.45 9.68 32.26 41.94 9.68 | 100.00
4 | 0.00 0.00 11.76 41.18 47.06 | 100.00
5 | 4.35 0.00 13.04 30.43 52.17 | 100.00
-----------+-------------------------------------------------------+----------
Total | 11.57 17.36 23.97 24.79 22.31 | 100.00
Any help on the above will be highly appreciated.
Many thanks
Ikechukwu
I am estimating wage mobility from transition matrices across deciles, over 2 periods in the wage distribution. As such, I would like to generate dummy variables for individuals who moved upward, downwards or remained in the same income distribution using multinomial logit model. Please any idea on how I can ably generate categorical variables for these 3 categories? My data is 2 wave panel data for 2008 and 2010. I would like to use the transition matrix table below to generate the said dummy variables
. xttrans deciles_20_PR
5 |
quantiles | 5 quantiles of ln_wage
of ln_wage | 1 2 3 4 5 | Total
-----------+-------------------------------------------------------+----------
1 | 37.04 25.93 11.11 11.11 14.81 | 100.00
2 | 4.35 47.83 47.83 0.00 0.00 | 100.00
3 | 6.45 9.68 32.26 41.94 9.68 | 100.00
4 | 0.00 0.00 11.76 41.18 47.06 | 100.00
5 | 4.35 0.00 13.04 30.43 52.17 | 100.00
-----------+-------------------------------------------------------+----------
Total | 11.57 17.36 23.97 24.79 22.31 | 100.00
Any help on the above will be highly appreciated.
Many thanks
Ikechukwu
