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Re: st: How to generate an index for the calculation of geometric mean


From   Yuval Arbel <[email protected]>
To   [email protected]
Subject   Re: st: How to generate an index for the calculation of geometric mean
Date   Tue, 11 Dec 2012 11:57:23 +0200

It's not 2.3 but rather t=1 for reduct_per==25, t=2 for
reduct_per==625, t=3 for reduct_per==15625 etc, so that when I
calculate 625^(1/2) and 15625^(1/3) I get 25

On Tue, Dec 11, 2012 at 11:46 AM, Nick Cox <[email protected]> wrote:
> I didn't understand what you want when you asked this yesterday, and
> the same applies to this repetition. Specifically, where does the 2.3
> come from? Please show the formula which produces this result.
>
> Nick
>
> On Tue, Dec 11, 2012 at 7:31 AM, Yuval Arbel <[email protected]> wrote:
>
>> I would like to generate an index variable for the calculation of the
>> geometrical mean of an unbalanced panel (namely, the exponent, which
>> makes the product a
>> geometrical mean).
>>
>> Here is an example of one panel:
>>
>> . list reduct_per y3 if appt==2862
>>
>>         +---------------------+
>>         | reduct~r         y3 |
>>         |---------------------|
>>     30. |        1          1 |
>>     31. |        1          1 |
>>     32. |        1          1 |
>>     33. |        1          1 |
>>     34. |        1          1 |
>>         |---------------------|
>>     35. |        1          1 |
>>     36. |        1          1 |
>>     37. |        1          1 |
>>     38. |        1          1 |
>>     39. |        1          1 |
>>         |---------------------|
>>     40. |        1          1 |
>>     41. |        1          1 |
>>     42. |        1          1 |
>>     43. |        1          1 |
>>     44. |        1          1 |
>>         |---------------------|
>>     45. |        1          1 |
>>     46. |        1          1 |
>>     47. |        1          1 |
>>     48. |        1          1 |
>>     49. |        1          1 |
>>         |---------------------|
>>     50. |        1          1 |
>>     51. |        1          1 |
>>     52. |        1          1 |
>>     53. |        1          1 |
>>     54. |        1          1 |
>>         |---------------------|
>>     55. |       25         25 |
>>     56. |       25        625 |
>>     57. |       25      15625 |
>>     58. |       25     390625 |
>>     59. |       25    9765625 |
>>         |---------------------|
>>     60. |       25   2.44e+08 |
>>     61. |       25   6.10e+09 |
>>     62. |       25   1.53e+11 |
>>     63. |       25   3.81e+12 |
>>     64. |       25   9.54e+13 |
>>         |---------------------|
>>     65. |       25   2.38e+15 |
>>     66. |       25   5.96e+16 |
>>         +---------------------+
>>
>>
>>  The problem is that for reduct_per==1 I would like
>> the index to become a constant and remain the same until the next
>> reduct_per, which is different from zero, comes.
>>
>> Consider the example above: during the first 26 periods the index
>> should be one and and starting from the 26th period it should change
>> to 2,3 etc.
>>
>> If, on the other hand, we would have opposite descending trail (namely
>> 25 percent reduction rate from 1-25 and zero starting from the 26th
>> period), the index should be 1, 2,..,25 and then becomes a constant 25 from
>> the 26th period.
>>
>> What is the simplest way to generate such an index? Can it be done
>> without a loop?
> *
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-- 
Dr. Yuval Arbel
School of Business
Carmel Academic Center
4 Shaar Palmer Street,
Haifa 33031, Israel
e-mail1: [email protected]
e-mail2: [email protected]
*
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*   http://www.stata.com/support/faqs/resources/statalist-faq/
*   http://www.ats.ucla.edu/stat/stata/


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