Dear All,
I have been trying to run analysis using the paper of Acemoglu et al. (2008) about the association between democracy and income. One of coefficient in their regression output is (L1.gdppercapita / (1- L1.democracy) ).
This follows that this coefficient using the coefficient in the the regression for gdp per capita at t-1 divided by the coefficient of 1 minus lagged democracy status. I did try to generate new variables one for 1-L.Democracy and one for the results of the divination, unfortunately with no success as it includes it in the regression, and does not use it for the ration between the total coefficients. How can I run this based on the fact it is the ratio between coefficients?
Additionally, I have been trying to include in my regression output (using Outreg2) additional rows for robustness checks such as, Hansen J test and AR(2) test (in addition to the regular results of the regression. Does anyone kindly know how would it be possible to do so?
Thank you in advance.
Regards
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