Dear community,

For an assignment: "include now in the regression fixed effects for borrowers’ country of residence and for month when the loan was issued". I have two variables: "country" and "loandate" for which I have to create dummies to run a fixed effects regression. For country it was rather easy to do this, as I have only three countries in my dataset. However, due to the amount of months I have created thousands of dummies. Is there a way I can do the fixed effects regression that will combine all the dummies into one variable in terms of the regression output? I need to put the output in a regression table and I don't think my teacher wants me to include thousands of dummies. Every time I run the regression it takes a huge amount of time for it to run. Note, my data is not in panel form.

I have tried: xtset country loandate, but I got the error message: repeated time values within panel. This is probably because my data is not in panel data form. Nor is it in chronological order, as loandate merely specifies when a loan applicant received a loan. How do I approach this problem?

Let me know if you need additional information!

Thanks in advance!