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  • Categorical variables in Command xtoaxaca

    Dear all,
    Now I am working with a panel data to observe whether teacher-school communication can help improve children's academic performance.
    When using xtoaxaca, I was bothered by annoying categorical variable.

    This is my command:
    quietly eststo est1: xtreg stdchn stdcog chnshadow year $xlist ecolevel talkstudy, cluster(ids)
    xtoaxaca stdcog chnshadow year $xlist ecolevel talkstudy, groupvar(talkstudy) groupcat(0 1) normalize(ecolevel) timevar(year) times(2014 2015 2016) timeref(2014) timebandwidth(1) model(est1) change(interventionist) forcesample

    where ecolevel is a 5-level variable indicatring a family's economic level.

    After running, it shows:
    ecolevel is not a categorical factor variable. Only categorical factor variables may be specified in normalize().

    So where might be the problem? Are there any differences to add categorical factor among command oaxaca, oaxaca_rif and xtoaxaca?

    Thanks for help.

    Li
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