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  • Coarsened Exact Matching (CEM)

    I have a dataset containing treatment and control firms. Each firm belongs to a technology class defined in patentclass and innovation output of each firm is defined in patents which is a count data.
    I want to match the control firms with treatment firms based on two criteria:
    1) both treatment and control firm should be in the same patentclass
    2)
    Control firms should have the same innovation output level based on patents. But I don't want to limit the match based on rage, I want to match with the firm with the closest match of patents

    I can think of the following code but not sure how to include that restriction of closest match in patent matching.:

    cem patentclass(#0) patent, treatment(treatment)

    Any help is appreciated.

    thanks
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