how can I generate a dummy variable based on another dummy variable?

[Hakan Gunduz]

Hi all,

my data pretty much looks like the following

Year company var1
1999 CompanyA 0
2000 CompanyA 1
2001 CompanyA 0
2002 CompanyA 0
2010 CompanyB 0
2011 CompanyB 1
2012 CompanyB 0 
2013 CompanyB 0

What I want to do is I want to create a new dummy variable which is one year before and two years later from the current dummy. So I want it looks like the following:

Year Company var1 var2
1999 CompanyA 0 1
2000 CompanyA 1 0
2001 CompanyA 0 0 
2002 CompanyA 0 1
2010 CompanyB 0 1
2011 CompanyB 1 0 
2012 CompanyB 0 0
2013 CompanyB 0 1

How can I do this?

Thanks!

[Ivan Privalko]

Hey Hakan, I think you're looking for time-series operators. You may have to put var2 together in two steps. I would first declare your data as a panel using

xtset company year

and then add a new variable using the operators. The first is a single wave lag and so looks like this

gen var2 = L.var1

the second is a two wave lead and so would look something like this

gen var3 = FF.var1

. There's more info here https://www.stata.com/help13.cgi?xtset.