Hi all,

I am currently working on my undergraduate dissertation, title "The Macroeconomic Determinants of Mental Health". I was advised by my supervisor to remove (or transform) the outliers of my "Inflation" variable. I watched a tutorial on YouTube to aid me with this, however it has not worked.

The code I used is:
Code:
ssc install winsor2 
clonevar RealInflation=Inflation
su RealInflation, d 
replace RealInflation=r(p99) if RealInflation>=r(p99) & RealInflation <.

xtreg DepressionPrevM lnGDPpc Gini Unemp RealInflation FLaborforce GovExpE HealthExp i.Year, fe cluster(CountryNum)
estimates store RMAllCountriesDY
xtreg DepressionPrevM lnGDPpc Gini Unemp RealInflation FLaborforce GovExpE HealthExp i.Year if EconomicRegion2019=="L", fe cluster(CountryNum)
estimates store RMLLMIncomeDY
xtreg DepressionPrevM lnGDPpc Gini Unemp RealInflation FLaborforce GovExpE HealthExp i.Year if EconomicRegion2019=="M", fe cluster(CountryNum)
estimates store RMUMIncomeDY
xtreg DepressionPrevM lnGDPpc Gini Unemp RealInflation FLaborforce GovExpE HealthExp i.Year if EconomicRegion2019=="H", fe cluster(CountryNum)
estimates store RMHIncomeDY
estimates table RMAllCountriesDY RMLLMIncomeDY RMUMIncomeDY RMHIncomeDY, star(0.1 0.05 0.01) stats(N r2)
From my understanding, it will take the values of RealInflation greater than the 99th percentile and transform it so it is the 99th percentile value. However, when I run my regressions, it seems it has not taken into account this change, and the inflation values are as before.

Is anyone able to see where I am going wrong with my code?
Thank you