Dear Statalists,

I have a question of if it is reasonable to use decadal dummies as time fixed effects in quinquennial data (which I read from a paper). The data in question are arranged as the average of every five-year period. That paper does not use quinquennial dummies as time effects. Instead, it uses decadal dummies. So could I ask if this treatment is econometrically reasonable or appropriate? And what is the rationale behind this treatment?

If this treatment is okay, can I set decadal dummy as shown in the following sample data? period stands for quinquennial period and dummy1-7 stand for decadal dummies. So there are 14 quinquennial time points (the variable period has 14 observations) and 7 decadal dummies (e.g. period 1 and 2 constitute the first decade).

Code:
* Example generated by -dataex-. To install: ssc install dataex
clear
input float period byte(dummy1 dummy2 dummy3 dummy4 dummy5 dummy6 dummy7)
 1 1 0 0 0 0 0 0
 2 1 0 0 0 0 0 0
 3 0 1 0 0 0 0 0
 4 0 1 0 0 0 0 0
 5 0 0 1 0 0 0 0
 6 0 0 1 0 0 0 0
 7 0 0 0 1 0 0 0
 8 0 0 0 1 0 0 0
 9 0 0 0 0 1 0 0
10 0 0 0 0 1 0 0
11 0 0 0 0 0 1 0
12 0 0 0 0 0 1 0
13 0 0 0 0 0 0 1
14 0 0 0 0 0 0 1
end
Thank you very much!