I am looking to calculate the Herfindahl index over the variable "industry" by group "ID" in a time-variant manner "date".
Observations per ID are sorted in time-ascending order and the HHI should be re-calculated at each date, taking into consideration all previous data for the respective ID.
I am familiar with the user-written command hhi, but unsure how implement the time-varying component. For example,
Code:
hhi industry, by(ID)
I would very much appreciate your help, please also find below an example of my data. Many thanks in advance!
Code:
* Example generated by -dataex-. To install: ssc install dataex clear input int ID float(industry date) 2073 4 18774 2073 3 19488 2073 4 19792 2073 3 19831 2073 4 19920 2073 4 20104 2073 3 20627 2073 3 20690 2081 4 14851 2081 3 15239 2081 1 15795 2081 4 16279 2081 1 16972 2081 4 17784 2081 1 18613 end format %d date
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