Dear Community,
I am a user of STATA 13.
I am currently trying to estimate the impact of unemployment on the probability of re-election for a unbalanced panel of city-level elections held in 2002, 2008 and 2014. I am interested in conducting both non-parametric graphical analysis and threshold regression. I have consulted the following papers to get an understanding of Threshold Regression Modeling:
1. Structural Threshold Regression (Andros Kourtellos, Thanasis Stengos, Chih Ming Tan, 2011)
2. Sample Splitting and Threshold Regression (Hansen, 2000)
As I understand, STATA 13 provides a drop down menu which I have been using for non-parametric analysis.
However, I am trying to read and learn as much as I can to improve my estimations.
I would greatly appreciate inputs from any academician or researcher who has had prior experience at such a job, specifically how to best estimate the threshold value.
My econometric model is as follows:
where I want to estimate the unknown uthreshold level of unemployment.
I shall update the post myself if I find a suitable solution.
Thank you,
Pranav
I am a user of STATA 13.
I am currently trying to estimate the impact of unemployment on the probability of re-election for a unbalanced panel of city-level elections held in 2002, 2008 and 2014. I am interested in conducting both non-parametric graphical analysis and threshold regression. I have consulted the following papers to get an understanding of Threshold Regression Modeling:
1. Structural Threshold Regression (Andros Kourtellos, Thanasis Stengos, Chih Ming Tan, 2011)
2. Sample Splitting and Threshold Regression (Hansen, 2000)
As I understand, STATA 13 provides a drop down menu which I have been using for non-parametric analysis.
However, I am trying to read and learn as much as I can to improve my estimations.
I would greatly appreciate inputs from any academician or researcher who has had prior experience at such a job, specifically how to best estimate the threshold value.
My econometric model is as follows:
Ycity, year(t) = B*unemploymentcity, year(t) + A*(unemploymentcity, year(t) - uthreshold) 1|(unemploymentcity, year(t) > uthreshold)
I shall update the post myself if I find a suitable solution.
Thank you,
Pranav
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