Hello.
I have a question regarding a variable I have constructed. For a number of countries, I have multiple observations for each country.
The thing is that I have a dichotomous variable (it can only take value 0 or 1) for each such observation. From this, for each country, I have created a variable that shows the percentage of observations (within the country), in which the dichotomous variable takes value 1.
Example: I have a country A with 24 observations for that country. Of those 24 observations, in the dichotomous variable X, 13 observations take value 1 and the rest 0. Therefore, my constructed variable, Y, for country A would take value 51.166%.
My question is, is that variable Y discrete or continuous? Could I estimate by OLS if the dependent variable is Y?
Thanks for your attention!
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