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I need an assignment done on Stata and some written questions as well. If you cant do the written part, please contact me. the most important part is the assignments on Stata.

 

 This article considers the problem of "supply-and-demand" analysis on a cross section of oligopoly markets with differentiated products. The primary methodology is to assume that demand can be described by a discrete-choice model and that prices are endogenously determined by price-setting firms. In contrast to some previous empirical work, the techniques explicitly allow for the possibility that prices are correlated with unobserved demand factors in the cross section of markets. The article proposes estimation by "inverting" the market- share equation to find the implied mean levels of utility for each good. This method allows for estimation by traditional instrumental variables techniques. 1. Introduction * Traditional "supply-and-demand" analysis has long been a staple of empirical eco- nomics. This analysis attempts to uncover cost and demand information from market data under the assumption of a static, perfectly competitive equilibrium. In recent years, in- creasing attention has been paid to estimating demand and cost parameters under imperfect competition. Much, though not all, of this existing literature on estimation under imperfect competition is tied to homogeneous goods markets. This article considers the problem of estimating supply-and-demand models in mar- kets with product differentiation. In common with some previous articles, market demand is derived from a general class of discrete-choice models of consumer behavior. The utility of consumers depends on product characteristics and individual taste parameters; product- level market shares are then derived as the aggregate outcome of consumer decisions. Firms are modelled as price-setting oligopolists, and endogenous market outcomes are derived from an assumption of Nash equilibrium in prices. The proposed estimation methods do not require the econometrician to observe all relevant product characteristics. The presence of unobserved product characteristics allows for a product-level source of sampling error. More importantly, it reintroduces the econo- metric problem of endogenous prices (or "simultaneity") that is familiar from studies of homogeneous goods markets. In these studies, the "error" in the demand equation

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