I have a panel data with firm and year variables. I also have a dummy variable, litigation, which equals 1 if there are 1 or more litigations for a firm in a year and 0 if there is no litigation for the firm in that year. I want to create a new dummy variable, abovemedian_litigation, which equals 1 if the firm has 50% or more of the times with litigation==1 than litigation==0 over the sample period. How can I do this? Thanks a lot for any suggestions!
Code:
* Example generated by -dataex-. To install: ssc install dataex clear input float year double firm float litigation 2010 2 1 2011 2 1 2012 2 1 2013 2 1 2014 2 0 2015 2 0 2016 2 1 2017 2 1 2018 2 1 2019 2 1 2010 4 0 2011 4 0 2012 4 1 2013 4 1 2014 4 1 2015 4 0 2016 4 1 2017 4 0 2018 4 1 2019 4 1 2010 5 1 2011 5 1 2012 5 1 2013 5 1 2014 5 1 2015 5 0 2016 5 1 2017 5 1 2018 5 1 2019 5 1 2011 7 0 2012 7 0 2013 7 1 2014 7 0 2015 7 1 2016 7 0 2017 7 0 2018 7 0 2019 7 1
0 Response to generate a dummy varaible based on whetehr the other dummy has the same or more ==1 than ==0 over the sample period
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