I try to visually evaluate pre-treatment trends using a staggered diff-in-diff model. Basically, I want to plot the coefficient estimates for treatment effects for each time period both before and after treatment period 0, as well as the confidence intervals of the estimates. My data looks like this:
DV | Company | Quarter | Post | Treat | Relative_Treat | Relative_Treat_noNegative |
3 | A | 190 | 0 | 1 | -1 | 1 |
4 | A | 191 | 0 | 1 | 0 | 2 |
2 | A | 192 | 1 | 1 | 1 | 3 |
4 | A | 193 | 1 | 1 | 2 | 4 |
5 | A | 194 | 1 | 1 | 3 | 5 |
2 | B | 190 | 0 | 0 | nan | nan |
4 | B | 191 | 0 | 0 | nan | nan |
1 | B | 192 | 0 | 0 | nan | nan |
3 | B | 193 | 0 | 0 | nan | nan |
4 | C | 190 | 0 | 1 | -2 | 0 |
5 | C | 191 | 0 | 1 | -1 | 1 |
6 | C | 192 | 0 | 1 | 0 | 2 |
1 | C | 193 | 1 | 1 | 1 | 3 |
3 | C | 194 | 1 | 1 | 2 | 4 |
For the DiD regression I used the following code:
Code:
xtset Company Quarter xtreg DV i.Post#i.Treat i.Quarter, fe
Now I would like to assess the pretreatment trends. So far, I used the following code:
Code:
xtset Company Quarter xtreg DV i.Quarter##i.Relative_Treat_noNegative i.Quarter, fe margins Quarter#Relative_Treat marginsplot
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