Stata command to test equality of mean and median

3 Responses to Stata command to test equality of mean and median

1. Helen says:

   June 17, 2020 at 5:07 pm

   Hi Kai, I am currently using the following code to compare the statistical difference for the coefficient between two subsamples.

   qui reg DepVar IndVar if LOSS==1
   est store m1

   qui reg DepVar IndVar if LOSS==0
   est store m2

   suest m1 m2, cluster(firm)
   test [m1_mean]IndVar-[m2_mean]IndVar=0

   Is there a way that I can include both fixed effects (year fixed and industry fixed effects) and firm cluster in this setting? Since in other full sample tests, I use reghdfe DepVar IndVar, absorb (industry year) cluster(firm).

   Thank you in advance!

   Reply
   • Kai Chen says:

     June 26, 2020 at 3:33 pm

     Helen, I don’t know the exact answer t your question. But it looks to me a Chow test. We seem to be able to do the Chow test in a single regression with post-regression statistical tests. You may want to try adding all robustness options in that regression. See the link: https://www.stata.com/support/faqs/statistics/chow-tests/.

     Reply
   • Marwa says:

     February 2, 2022 at 10:30 am

     Hi Helen,
     I came up with the same problem. I use reghdfe with multiple fixed effect and clusters. I need to test the significance of the 2 coefficients in 2 groups. Did you find a way to do this test? Thanks in advance

     Reply