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st: Confusion with Winsorizing


From   Nima Darbari <[email protected]>
To   [email protected]
Subject   st: Confusion with Winsorizing
Date   Wed, 15 Jan 2014 18:30:22 +0100

I have written the simple code below to Winsorize a figure in 55
different events separately but perhaps due to a funny mistake it
doesn't work properly.

forvalues e=1(1)55{
sum PostturnoverFirm if (PostturnoverFirm !=0 & Event`e' ==1) , de
local p95=r(p95)
local p5=r(p5)
replace PostturnoverFirm = `p95' if (Event`e' ==1 & PostturnoverFirm > `p95')
replace PostturnoverFirm = `p5' if (Event`e' ==1 & PostturnoverFirm < `p5')
}


Bigger than the 95 percentile line works correctly but the smaller
than 5 percentile line replaces the figure for almost all of the rest
of observations. Does anyone know whats wrong with this?
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