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  • oaxaca command gives r(499) error when making estimation with large number of dummies

    Hello
    I'm trying to make a wage gap decomposition with a relatively large set of dummy variables representing occupations. oaxaca command ends up with r(499) error if I use even one fifth of dummies available in the set. Here is an illustration:

    If I use only first 21 variable of the occupations dummies set, oaxaca performs fine:
    oaxaca ln_wklyearn otpaid otunpaid age age_sq married prov1d2-prov1d10 parttime permjob firmsize2-firmsize4 uslhrs educlev2-educlev10 tenure soc_2-soc_22, by(female) pooled

    But if I use, for instance, 121 dummies from the set, I have an error:
    oaxaca ln_wklyearn otpaid otunpaid age age_sq married prov1d2-prov1d10 parttime permjob firmsize2-firmsize4 uslhrs educlev2-educlev10 tenure soc_2-soc_122, by(female) pooled
    (model 2 has zero variance coefficients)
    dropped coefficients or zero variances encountered
    specify -noisily- to view model estimation output
    specify -relax- to ingnore
    r(499);

    I appreciate if somebody can help me to solve the issue, or at least let me know if it looks solvable within short time (a week).
    Thank you.
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