clear set more off * Replication of AJR 2001 * 1 cd "/Users/vojtabartos/Documents/4 Teaching/2021 Development Economics/Tutorials/Exercise 3/Acemoglu, Johnson, Robinson (2001)" use AJR2001_replication, clear * 2 browse * + explore variables manager * 3a graph twoway (scatter logpgp95 logem4, mstyle(none) mlabel(shortnam) mlabgap(-3)) /// (lfit logpgp95 logem4) if excolony * 4a gen mort_levels=exp(logem4) * 4b sum mort_levels, d sort mort_levels browse longname shortnam mort_levels * 5b graph twoway (scatter logpgp95 avexpr, mstyle(none) mlabel(shortnam) mlabgap(-3)) /// (lfit logpgp95 avexpr) if excolony * 5c reg logpgp95 avexpr * 5d * 5di * creating the base sample: countries that are: * 1) ex-colonies * 2) have data on settler mortality * 3) protection against expropriation risk, and * 4) GDP. * see p. 1377 in paper gen base_sample= logem4!=. & excolony==1 & avexpr!=. & logpgp95!=. * 5dii reg logpgp95 avexpr if base_sample * 5diii browse shortnam avexpr logpgp95 if shortnam=="UGA" | shortnam=="MEX" * now do the calculations yourself * avexpr: (7.5-4,5)*0.52=1.56 * exp(1.56)-1=3.76 -> predicted difference in incomes: 3.76 * but difference in log points is 1.97 * exp(1.97)-1=6.17 -> actual differences in incomes: 6.17 * 6a graph twoway (scatter avexpr logem4, mstyle(none) mlabel(shortnam) mlabgap(-3)) /// (lfit avexpr logem4) if excolony * 6b * Tab 3, col 1 reg avexpr cons00a if base_sample outreg2 using "Tables/table_1.xls", symbol(***, **, *) bdec(2) sdec(2) se replace excel * Tab 3, col 3 reg avexpr democ00a if base_sample outreg2 * Tab 3, col 5 * well, this one omitted in the setup reg avexpr cons1 if base_sample outreg2 * Tab 3, col 7 gen euro1900100=euro1900/100 reg avexpr euro1900100 if base_sample outreg2 * Tab 3, col 9 reg avexpr logem4 if base_sample outreg2 * 6ci ivregress 2sls logpgp95 (avexpr=logem4) if base_sample, first * 6cii * now do the calculations yourself * avexpr: (7.5-4,5)*0.94=2.82 * exp(2.82)-1=16.78 -> predicted difference in incomes: 16.78 * but difference in log points is 1.97 * exp(1.97)-1=6.17 -> actual differences in incomes: 6.17 * 6di reg logpgp95 lat_abst if base_sample ivregress 2sls logpgp95 (avexpr=lat_abst) if base_sample, first * 6dii pwcorr lat_abst logem4, sig pwcorr lat_abst avexpr, sig * 6diii reg logpgp95 lat_abst logem4 if base_sample ivregress 2sls logpgp95 lat_abst (avexpr=logem4) if base_sample, first * 6ei reg logpgp95 malfal94 if base_sample * 6eii ivregress 2sls logpgp95 (avexpr=logem4) malfal94 if base_sample, first * Albuoy (2012) * 1a ivregress 2sls logpgp95 (avexpr=logem4) if base_sample, first outreg2 using "Tables/table_albuoy2012.xls", symbol(***, **, *) bdec(2) sdec(2) se replace excel ivregress 2sls logpgp95 (avexpr=logem4) lat_abst if base_sample, first outreg2 * 1b ivregress 2sls logpgp95 (avexpr=logem4) if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=logem4) lat_abst if base_sample, first vce(cl logem4) outreg2 * 1c ivregress 2sls logpgp95 (avexpr=logem4) if base_sample & source0==1, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=logem4) lat_abst if base_sample & source0==1, first vce(cl logem4) outreg2 * 1d ivregress 2sls logpgp95 (avexpr=logem4) campaign slave if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=logem4) campaign slave lat_abst if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=logem4) campaign slave if base_sample & source0==1, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=logem4) campaign slave lat_abst if base_sample & source0==1, first vce(cl logem4) outreg2 * AJR (2012 reply) * 1b replace mort_levels=250 if mort_levels>250 gen mort_log=log(mort_levels) ivregress 2sls logpgp95 (avexpr=mort_log) if base_sample, first vce(cl logem4) outreg2 using "Tables/table_ajr2012.xls", symbol(***, **, *) bdec(2) sdec(2) se replace excel ivregress 2sls logpgp95 (avexpr=mort_log) if base_sample & source0==1, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=mort_log) lat_abst if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=mort_log) lat_abst if base_sample & source0==1, first vce(cl logem4) outreg2 * 1d preserve drop if shortnam=="GMB" ivregress 2sls logpgp95 (avexpr=mort_log) if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=mort_log) if base_sample & source0==1, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=mort_log) lat_abst if base_sample, first vce(cl logem4) outreg2 ivregress 2sls logpgp95 (avexpr=mort_log) lat_abst if base_sample & source0==1, first vce(cl logem4) outreg2 restore