I need help generating 3 tables for stata software. open this download in stata Download the R&D_merger Stata data set. Use a difference and difference model to estimate the effect of mergers on the growth in R&D expenditures. To do this, first log R&D expenditures. Also, log the sales data. Then follow the difference and difference model to create the interaction term between the treatment group and the firm type. The treatment in this case is a merger with a 1 used for each year when the firm merged. The firm type is a 1 for the firms that engaged in a merger and a 0 for the firms that did not merge during the time period of the study. Note: You should not use employment and sales in your model due to collinearity. Instead, we grouped firms into firm 1-4 based on employment size range. In using these variables, be careful of the dummy variable trap. Run the regression and analyze your results? Do the results differ by firm type? Be sure to include log of sales as well as time dummies, dropping the year 2008. Do the results differ by industry type? Be careful to drop an industry in the model as well. Analyze the results with particular emphasis on the Beta3 coefficient. Then, run separate regressions for the challenged group (mergers challenged by the government) and the non-challenged group. Do this using the following commands, For challenge group: if chal_group==1 | firmtype==0 For non-challenge group: if chal_group==0 | firmtype==0 You should have three regression tables. Analyze and compare results.
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