*
* Example 10.3 from pp 358-360
*
open data males.asc
calendar(panelobs=8,a) 1980:1
all 545//1987:01
data(format=free,org=columns) 1//1980:01 545//1987:01 nr year ag black bus con ent exper fin hisp hlth $
 hours man mar min nc ne occ1 occ2 occ3 occ4 occ5 occ6 occ7 occ8 occ9 per pro pub rur s school tra trad $
 union wage
*
set expersq = exper**2
*
* The panel regressions are run using the instruction PREG (Panel REGression).
* METHOD=FIXED, METHOD=BETWEEN and METHOD=RANDOM are the options for fixed,
* between and random. RATS uses a different algorithm for estimating the
* component variances for random effects; you can use the VINDIV and VRANDOM, as
* is done here, to feed in particular values.
*
preg(method=between) wage
# constant school exper expersq union mar black hisp pub
preg(method=fixed) wage
# exper expersq union mar pub
linreg wage
# constant school exper expersq union mar black hisp pub
preg(method=random) wage
# constant school exper expersq union mar black hisp pub
preg(method=random,vindiv=.1055,vrand=.1234) wage
# constant school exper expersq union mar black hisp pub
*
* This repeats the above regressions, using REPORT to build the table.
*
report(action=define,hlabels=||"Variable","Between","Fixed Effects","OLS","Random Effects"||)
preg(method=between) wage
# constant school exper expersq union mar black hisp pub
report(regress)
preg(method=fixed) wage
# exper expersq union mar pub
report(regress)
linreg wage
# constant school exper expersq union mar black hisp pub
report(regress)
preg(method=random,vindiv=.1055,vrand=.1234) wage
# constant school exper expersq union mar black hisp pub
report(regress)
report(action=format,picture="*.###")
report(action=show)