Hello everyone. I am new at STATA and struggling to come up with a proper methodology. I have a panel set for 12 years and I'm trying to solve the equation Growth(i,t)=a+ a1 lag GDP(i,t)+ a2 FDI(i,t)+ a3 Education(i,t)+ a4 Government consumption (i,t)+a5 BMP(1+t)(i,t)+ a6 FDI*HK+ a7 Africa (t)+ a8 Latina America (t). I want to conduct a GMM model, however, if I take yearly data, a lot of the data is lost over the years and I end up with a small observation set. I want to use a 3 year average for individual country but I am very confused about how to move forward with it.
I would be very grateful if someone could help me move forward as it is quite urgent.
Kindly guide me with your expert guidance.