Dear Stata users,

I am running a fixed effect model on household data with log household per capita consumption as dependent variable and a binary shock indicator as independent variable.

xtreg log_consumptionpc shockindicator controls, fe with t=1, 2

My data is a two-period panel with every household observed in t=1 and t=2. Therefore, the fixed effect model is equivalent to a first-difference model. The fixed effect is a household fixed effect. Is it correct that the obtained coefficient for the binary shock variable in the fixed effect model with log dependent variable then captures the change in the change of consumption due to the shock? I do not really understand how to interpret the coefficient of a variable in a two-period panel Regression with Household fixed effect. Maybe you can help with that?
Best, AC