Oaxacan model

[Katherine Oleas]

Hello everyone

I am making an estimate for Oaxaca, however when I run the model I get this message "factor-variable and time-series operators not allowed", this is my command:
oaxaca income woman school exp exper2 i.ethnic head civil i.regions i.branch size condition if area==1 [iw=fexp], by(woman) omega
I don't know if the problem is due to the expansion factor.

[FernandoRios]

Yes it is
you cant use "I." "c." or "#" etc
you need to create variables those manually

[Katherine Oleas]

And how could I create that? For example, I have the region variable that is made up of:
0= Sierra and insular; 1=Coast and 2=Amazon

[FernandoRios]

Easiest way:

tab region, gen(reg_)

But also manually

gen reg_1 = (region==1) if region!=.
gen reg_2 = (region==2) if region!=.
gen reg_3 = (region==3) if region!=.

Or any other method to create dummies

[Katherine Oleas]

And then how to introduce a variable again in my regression?