# SEATBELT
#Alma Cohen and Liran Einav

clear
open "/Volumes/FLASH DRIVE/EAplicada/Week12_2016/SeatBelts.gdt"

setobs state year --panel-vars

append "/Volumes/FLASH DRIVE/EAplicada/Week12_2016/seatbelt_law.dta"

freq year
#Number of fatalities per million traffic miles
summary fatalityrate --by=year --simple

genr lincome=ln(income)
genr lage=ln(age)
genr lvm=ln(vmt)

loop foreach i 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997
genr du_y_$i=year==$i
setinfo du_y_$i -d "Dummy Year $i"
endloop

list X=lincome lage ba08 speed70 speed65 drinkage21

#OLS 1
ols fatalityrate const sb_useage X --robust

#OLS 2
ols fatalityrate const sb_useage X dummify(year) --robust

#P Diff
diff fatalityrate sb_useage X du_y_*

list DX=d_lincome d_lage d_ba08 d_speed70 d_speed65 d_drinkage21
list DDY=d_du_y_*
list DY=du_y_1985 du_y_1986 du_y_1987 du_y_1988 du_y_1989 du_y_1990 du_y_1991 du_y_1992 du_y_1993 du_y_1994 du_y_1995 du_y_1996 du_y_1997

smpl year>1983 --restrict

#P Diff 1
ols d_fatalityrate d_sb_useage DX --robust

#P Diff 2.1
ols d_fatalityrate d_sb_useage DX DDY --robust

#P Diff 2.2
ols d_fatalityrate const d_sb_useage DX DY --robust

smpl --full

#FIXED EFFECTS 1
setinfo state --discrete
ols fatalityrate const sb_useage X dummify(year) dummify(state) --robust

#FIXED EFFECTS 2
panel fatalityrate const sb_useage X dummify(year) --fixed-effects --robust

#RANDOM EFFECTS
panel fatalityrate const sb_useage X dummify(year) --random-effects --robust

#IV
list LAW=primary secondary

#FS
ols sb_useage const LAW X dummify(year) --robust

ols sb_useage const LAW X dummify(year) dummify(state) --robust
genr sb_hat=$yhat
genr v=$uhat
omit LAW --quiet

#RF
ols fatalityrate const LAW X dummify(year) dummify(state) --robust

#MC2E
tsls fatalityrate const sb_useage X dummify(year) dummify(state); const LAW X dummify(year) dummify(state) --robust

#HAUSMAN
ols fatalityrate const sb_useage X dummify(year) dummify(state) v --robust