PSM model (3d time)

[ALKEBSEE RADWAN]

Hello every one please i have a big difficulty with propensity score matching model, i understood that we have to get treat-group and control-group in order to execute this model.

first:
my topic is impact of CEO-pay on likelihood of financial fraud
here i dont know how to create treat-variable in order to execute pscore command.
please some explanation for helping.
second
i got set of commands related to execute PSM model which are:

*first create the pscore*
reg Independent var some cotrol vars  
predict pscore
drop if pscore==.
bys year sic INDP_var: g exp=_n if indep_var 
bys year sic : egen m=max(exp)
drop if m==.
expandcl m if indep_var!=1,cl(year code) gen(g)
bys year code: replace exp=_n if indep_var!=1
bys year sic  exp: egen r=sum(pscore*indep_var)
g q=abs((pscore-r)/r) if indep_var!=1
bys year sic exp: egen u=min(q) if ! indep_var
drop if u!=q&!indep_var
egen mat=group(year sic exp)  
bysort mat:gen fre1=_n
drop if fre1==1
drop exp-fre1
 *then run the model*

i tried those commands but i doubt about it because
my observations are 18000 and after executing those my observations increased into 22000
especially when i run the following command

expandcl m if indep_var!=1,cl(year code) gen(g)

please i have to learn how to execute PSM model for any type of dataset.


i need to know whether those commands are correct or not?
kind regards
Alkebsee Radwan

[David Radwin]

Please see FAQ 17 about why you did not receive an answer to your question, https://www.statalist.org/forums/help#noanswer, and extra point of advice 1.2, https://www.statalist.org/forums/help#adviceextras.

I suspect it's mostly the fourth explanation: "You seem to be asking for code on an entire project. It is most unlikely that anyone can work that out for you and write it down in a few minutes. Much more specific questions are much more likely to be answered." It also seems to be the case that questions about matching are less like to be answered than questions about most other topics.

I suggest you consult a relevant article or textbook that includes sample Stata code such as Guo, S., & Fraser, M. W. (2015). Propensity score analysis. 2nd ed. Sage. The second edition is recommended. Or you could take a course such as https://www.percontor.org/upcoming-w...-analysis-3-2/.

[ALKEBSEE RADWAN]

David Radwin
thank you so much