*Estimation

use GawandeMaloneyMontes_published, clear


gl endog=" Lllob0 "
gl X=" lrer lrgdppc "

*Table 1

*Static
xi: reg ltour $endog $X  i.y if y>0&Llassets~=., robust
xi: reg ltour $endog $X dum* i.y if y>0&Llassets~=., robust

xi: ivreg2 ltour ($endog=Llmedia Llassets Llivlob* ) $X dum* i.y if y>0, robust 
xi: ivreg2 ltour ($endog=Llmedia Llassets Llivlob1 ) $X dum* i.y if y>0, robust liml 
xi: reg $endog Llmedia Llassets Llivlob1  $X dum* i.y if y>0, robust
test Llmedia Llassets Llivlob1

tsset cty2 year
xi: xtabond2 ltour Lltour $endog $X i.y, iv(Llmedia Llassets Llivlob0 $X i.y) gmm(Lltour $X, lag(2 3)) noleveleq robust
display _b[Lllob0]/(1-_b[Lltour])
testnl _b[Lllob0]/(1-_b[Lltour])=0

*Table 2

gl endog=" zeros "
xi: xtabond2 ltour Lltour $endog $X i.y, iv(Llmedia Llassets Llivlob0  $X i.y) gmm(Lltour $X, lag(2 3)) noleveleq robust
display _b[$endog]/(1-_b[Lltour])
testnl _b[$endog]/(1-_b[Lltour])=0

gl endog=" Lllob0 Llmedia "
gl IV2=" Llassets Lliv2lob0 "
xi: xtabond2 ltour Lltour $endog $X i.y, iv( Llassets Lliv2lob0  $X i.y) gmm(Lltour $X, lag(2 3)) noleveleq robust
display _b[Lllob0]/(1-_b[Lltour])
testnl _b[Lllob0]/(1-_b[Lltour])=0

*Table 3
* Structural Model
gl endog=" Lllob0 Llrer_Lllob0 "
gl IV2=" Llassets Lliv2lob0 Llmedialob0 "
*Dynamic model
xi: xtabond2 ltour Lltour $endog $X i.y, iv(Llassets Lliv2lob0 Llmedialob0  $X i.y) gmm(Lltour $X, lag(2 3)) noleveleq robust
summ Lllob0
display _b[lrer]+_b[Llrer_Lllob0]*r(mean)