Question

I am using Stata 12 and I have to run a Ordered Probit (oprobit) with a panel dataset. I know that "oprobit" command is compatible with cross-section analysis. In the new version of Stata (Stata 13) they have "xtoprobit" command to account for Random Effects Ordered Probit. I need the similar command for Stata 12. I have checked "reoprob" command but when I use it with my panel dataset I have the following error :

"factor variables and time-series operators not allowed"

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Solution

That means you need to create your own dummy variables instead using the factor variable notation i.dummyvar. Try this:

tab dummyvar, gen(D)
reg y D*

This will creates a set of dummy variables (D1, D2,...) reflecting the observed values of the tabulated variable.

Some of the older user-written commands do not know what to do with the factor variable notation, which is convenient, but fairly new.

You can also explore xi for more complicated tasks.

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