-
Notifications
You must be signed in to change notification settings - Fork 0
/
model.do
905 lines (870 loc) · 43 KB
/
model.do
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
209
210
211
212
213
214
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
262
263
264
265
266
267
268
269
270
271
272
273
274
275
276
277
278
279
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
317
318
319
320
321
322
323
324
325
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
351
352
353
354
355
356
357
358
359
360
361
362
363
364
365
366
367
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
396
397
398
399
400
401
402
403
404
405
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
426
427
428
429
430
431
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
447
448
449
450
451
452
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
516
517
518
519
520
521
522
523
524
525
526
527
528
529
530
531
532
533
534
535
536
537
538
539
540
541
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
557
558
559
560
561
562
563
564
565
566
567
568
569
570
571
572
573
574
575
576
577
578
579
580
581
582
583
584
585
586
587
588
589
590
591
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
608
609
610
611
612
613
614
615
616
617
618
619
620
621
622
623
624
625
626
627
628
629
630
631
632
633
634
635
636
637
638
639
640
641
642
643
644
645
646
647
648
649
650
651
652
653
654
655
656
657
658
659
660
661
662
663
664
665
666
667
668
669
670
671
672
673
674
675
676
677
678
679
680
681
682
683
684
685
686
687
688
689
690
691
692
693
694
695
696
697
698
699
700
701
702
703
704
705
706
707
708
709
710
711
712
713
714
715
716
717
718
719
720
721
722
723
724
725
726
727
728
729
730
731
732
733
734
735
736
737
738
739
740
741
742
743
744
745
746
747
748
749
750
751
752
753
754
755
756
757
758
759
760
761
762
763
764
765
766
767
768
769
770
771
772
773
774
775
776
777
778
779
780
781
782
783
784
785
786
787
788
789
790
791
792
793
794
795
796
797
798
799
800
801
802
803
804
805
806
807
808
809
810
811
812
813
814
815
816
817
818
819
820
821
822
823
824
825
826
827
828
829
830
831
832
833
834
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
850
851
852
853
854
855
856
857
858
859
860
861
862
863
864
865
866
867
868
869
870
871
872
873
874
875
876
877
878
879
880
881
882
883
884
885
886
887
888
889
890
891
892
893
894
895
896
897
898
899
900
901
902
903
904
905
*======================================================================
* Economic Growth and the Forest Development Path
* A re-assessment of the Environmental Kuznets Curve for Deforestation
* ---------------------------------------------------------------------
* Nicola Caravaggio
* nicola.caravaggio@uniroma3.it
* ---------------------------------------------------------------------
* Università degli Studi di Roma Tre
*======================================================================
clear all
use "C:\Users\Nicola Caravaggio\OneDrive\Desktop\Paper EKCd\data.dta"
tsset id year
*========================
* Descriptive Statistics
*========================
preserve
drop if def_rate >= .
drop if ln_gdp >= .
drop if ln_agr >= .
drop if ln_pop >= .
drop if ln_trade >= .
* Low-Income Economies
summarize def_rate ln_gdp gdp_wdi agr ln_agr pop ln_pop tra_gdp ln_trade if inc_lev == 4
* Middle-Income Economies
summarize def_rate ln_gdp gdp_wdi agr ln_agr pop ln_pop tra_gdp ln_trade if inc_lev == 3 | inc_lev == 2
* High-Income Economies
summarize def_rate ln_gdp gdp_wdi agr ln_agr pop ln_pop tra_gdp ln_trade if inc_lev == 1
restore
*===================================
* Test for Heteroskedasticity
*-----------------------------------
* Modified Wald Test (Greene, 2000)
*===================================
* Low-Income Economies
preserve
*drop if country == "Eritrea"
*drop if country == "Ethiopia"
xtreg def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, fe
xttest3
restore
* Middle-Income Economies
preserve
*drop if country == "Myanmar"
*drop if country == "Serbia"
xtreg def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, fe
xttest3
restore
* High-Income Economies
xtreg def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, fe
xttest3
*=============================
* Test for Serial Correlation
*-----------------------------
* Wooldridge (2002)
*=============================
* Low-Income Economies
preserve
*drop if country == "Eritrea"
*drop if country == "Ethiopia"
keep if inc_lev == 4
xtserial def_rate ln_gdp ln_gdp2, output
xtserial def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, output
xtserial def_rate
xtserial ln_gdp
xtserial ln_gdp2
xtserial ln_agr
xtserial ln_pop
xtserial ln_trade
restore
* Middle-Income Economies
preserve
*drop if country == "Myanmar"
*drop if country == "Serbia"
keep if inc_lev == 3 | inc_lev == 2
xtserial def_rate ln_gdp ln_gdp2, output
xtserial def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, output
xtserial def_rate
xtserial ln_gdp
xtserial ln_gdp2
xtserial ln_agr
xtserial ln_pop
xtserial ln_trade
restore
* High-Income Economies
preserve
keep if inc_lev == 1
xtserial def_rate ln_gdp ln_gdp2, output
xtserial def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, output
xtserial def_rate
xtserial ln_gdp
xtserial ln_gdp2
xtserial ln_agr
xtserial ln_pop
xtserial ln_trade
restore
*=====================================
* Test for Cross-Sectional Dependency
*-------------------------------------
* Pesaran (2004) CD test
*=====================================
* Low-Income Economies
preserve
keep if inc_lev == 4
drop if country == "Eritrea"
drop if country == "Ethiopia"
xtcd def_rate
xtcd ln_gdp
xtcd ln_gdp2
xtcd ln_agr
xtcd ln_pop
xtcd ln_trade
restore
* Middle-Income Economies
preserve
keep if inc_lev == 3 | inc_lev == 2
drop if country == "Belarus"
drop if country == "Bosnia and Herzegovina"
drop if country == "Croatia"
drop if country == "Georgia"
drop if country == "Kazakhstan"
drop if country == "Myanmar"
drop if country == "Russian Federation"
drop if country == "Serbia"
drop if country == "Ukraine"
drop if country == "Uzbekistan"
xtcd def_rate
xtcd ln_gdp
xtcd ln_gdp2
xtcd ln_agr
xtcd ln_pop
xtcd ln_trade
restore
* High-Income Economies
preserve
keep if inc_lev == 1
xtcd def_rate
xtcd ln_gdp
xtcd ln_gdp2
xtcd ln_agr
xtcd ln_pop
xtcd ln_trade
restore
*==================================
* Stationarity: Unit Root
*----------------------------------
* Method: Fisher, ADF (Choi, 2001)
*==================================
* Low-Income Economies
preserve
drop if country == "Eritrea"
drop if country == "Ethiopia"
* Deforestation Rates
xtunitroot fisher def_rate if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.def_rate if inc_lev == 4, dfuller lags(1)
xtunitroot fisher def_rate if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.def_rate if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher def_rate if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.def_rate if inc_lev == 4, dfuller lags(2)
xtunitroot fisher def_rate if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.def_rate if inc_lev == 4, dfuller trend lags(2)
* GDP per capita
xtunitroot fisher ln_gdp if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 4, dfuller lags(1)
xtunitroot fisher ln_gdp if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher ln_gdp if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 4, dfuller lags(2)
xtunitroot fisher ln_gdp if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 4, dfuller trend lags(2)
* GDP per capita^2
xtunitroot fisher ln_gdp2 if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 4, dfuller lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 4, dfuller lags(2)
xtunitroot fisher ln_gdp2 if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 4, dfuller trend lags(2)
* Agricultural Area
xtunitroot fisher ln_agr if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 4, dfuller lags(1)
xtunitroot fisher ln_agr if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher ln_agr if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 4, dfuller lags(2)
xtunitroot fisher ln_agr if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 4, dfuller trend lags(2)
* Population Density
xtunitroot fisher ln_pop if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 4, dfuller lags(1)
xtunitroot fisher ln_pop if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher ln_pop if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 4, dfuller lags(2)
xtunitroot fisher ln_pop if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 4, dfuller trend lags(2)
* Trade Openness
xtunitroot fisher ln_trade if inc_lev == 4, dfuller lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 4, dfuller lags(1)
xtunitroot fisher ln_trade if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 4, dfuller trend lags(1)
xtunitroot fisher ln_trade if inc_lev == 4, dfuller lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 4, dfuller lags(2)
xtunitroot fisher ln_trade if inc_lev == 4, dfuller trend lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 4, dfuller trend lags(2)
restore
* Middle-Income Economies
preserve
drop if country == "Myanmar"
drop if country == "Serbia"
* Deforestation Rates
xtunitroot fisher def_rate if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.def_rate if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher def_rate if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.def_rate if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher def_rate if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.def_rate if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher def_rate if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.def_rate if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
* GDP per capita
xtunitroot fisher ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
* GDP per capita^2
xtunitroot fisher ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
* Agricultural Area
xtunitroot fisher ln_agr if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher ln_agr if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher ln_agr if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher ln_agr if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
* Population Density
xtunitroot fisher ln_pop if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher ln_pop if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher ln_pop if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher ln_pop if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
* Trade Openness
xtunitroot fisher ln_trade if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 3 | inc_lev == 2, dfuller lags(1)
xtunitroot fisher ln_trade if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 3 | inc_lev == 2, dfuller trend lags(1)
xtunitroot fisher ln_trade if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 3 | inc_lev == 2, dfuller lags(2)
xtunitroot fisher ln_trade if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 3 | inc_lev == 2, dfuller trend lags(2)
restore
* High-Income Economies
* Deforestation Rates
xtunitroot fisher def_rate if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.def_rate if inc_lev == 1, dfuller lags(1)
xtunitroot fisher def_rate if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.def_rate if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher def_rate if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.def_rate if inc_lev == 1, dfuller lags(2)
xtunitroot fisher def_rate if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.def_rate if inc_lev == 1, dfuller trend lags(2)
* GDP per capita
xtunitroot fisher ln_gdp if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 1, dfuller lags(1)
xtunitroot fisher ln_gdp if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher ln_gdp if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 1, dfuller lags(2)
xtunitroot fisher ln_gdp if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp if inc_lev == 1, dfuller trend lags(2)
* GDP per capita^2
xtunitroot fisher ln_gdp2 if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 1, dfuller lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.ln_gdp2 if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher ln_gdp2 if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 1, dfuller lags(2)
xtunitroot fisher ln_gdp2 if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.ln_gdp2 if inc_lev == 1, dfuller trend lags(2)
* Agricultural Area
xtunitroot fisher ln_agr if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 1, dfuller lags(1)
xtunitroot fisher ln_agr if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.ln_agr if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher ln_agr if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 1, dfuller lags(2)
xtunitroot fisher ln_agr if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.ln_agr if inc_lev == 1, dfuller trend lags(2)
* Population Density
xtunitroot fisher ln_pop if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 1, dfuller lags(1)
xtunitroot fisher ln_pop if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.ln_pop if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher ln_pop if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 1, dfuller lags(2)
xtunitroot fisher ln_pop if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.ln_pop if inc_lev == 1, dfuller trend lags(2)
* PTrade Openness
xtunitroot fisher ln_trade if inc_lev == 1, dfuller lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 1, dfuller lags(1)
xtunitroot fisher ln_trade if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher d.ln_trade if inc_lev == 1, dfuller trend lags(1)
xtunitroot fisher ln_trade if inc_lev == 1, dfuller lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 1, dfuller lags(2)
xtunitroot fisher ln_trade if inc_lev == 1, dfuller trend lags(2)
xtunitroot fisher d.ln_trade if inc_lev == 1, dfuller trend lags(2)
*==================================
* Stationarity: Unit Root with CSD
*----------------------------------
* Method: Pesaran (2003)
*==================================
* Low-Income Economies
preserve
drop if country == "Eritrea"
drop if country == "Ethiopia"
* Deforestation Rates
pescadf def_rate if inc_lev == 4, lags(0)
pescadf d.def_rate if inc_lev == 4, lags(0)
pescadf def_rate if inc_lev == 4, lags(0) trend
pescadf d.def_rate if inc_lev == 4, lags(0) trend
pescadf def_rate if inc_lev == 4, lags(1)
pescadf d.def_rate if inc_lev == 4, lags(1)
pescadf def_rate if inc_lev == 4, lags(1) trend
pescadf d.def_rate if inc_lev == 4, lags(1) trend
pescadf def_rate if inc_lev == 4, lags(2)
pescadf d.def_rate if inc_lev == 4, lags(2)
pescadf def_rate if inc_lev == 4, lags(2) trend
pescadf d.def_rate if inc_lev == 4, lags(2) trend
* GDP per capita
pescadf ln_gdp if inc_lev == 4, lags(0)
pescadf d.ln_gdp if inc_lev == 4, lags(0)
pescadf ln_gdp if inc_lev == 4, lags(0) trend
pescadf d.ln_gdp if inc_lev == 4, lags(0) trend
pescadf ln_gdp if inc_lev == 4, lags(1)
pescadf d.ln_gdp if inc_lev == 4, lags(1)
pescadf ln_gdp if inc_lev == 4, lags(1) trend
pescadf d.ln_gdp if inc_lev == 4, lags(1) trend
pescadf ln_gdp if inc_lev == 4, lags(2)
pescadf d.ln_gdp if inc_lev == 4, lags(2)
pescadf ln_gdp if inc_lev == 4, lags(2) trend
pescadf d.ln_gdp if inc_lev == 4, lags(2) trend
* GDP per capita^2
pescadf ln_gdp2 if inc_lev == 4, lags(0)
pescadf d.ln_gdp2 if inc_lev == 4, lags(0)
pescadf ln_gdp2 if inc_lev == 4, lags(0) trend
pescadf d.ln_gdp2 if inc_lev == 4, lags(0) trend
pescadf ln_gdp2 if inc_lev == 4, lags(1)
pescadf d.ln_gdp2 if inc_lev == 4, lags(1)
pescadf ln_gdp2 if inc_lev == 4, lags(1) trend
pescadf d.ln_gdp2 if inc_lev == 4, lags(1) trend
pescadf ln_gdp2 if inc_lev == 4, lags(2)
pescadf d.ln_gdp2 if inc_lev == 4, lags(2)
pescadf ln_gdp2 if inc_lev == 4, lags(2) trend
pescadf d.ln_gdp2 if inc_lev == 4, lags(2) trend
* Agricultural Area
pescadf ln_agr if inc_lev == 4, lags(0)
pescadf d.ln_agr if inc_lev == 4, lags(0)
pescadf ln_agr if inc_lev == 4, lags(0) trend
pescadf d.ln_agr if inc_lev == 4, lags(0) trend
pescadf ln_agr if inc_lev == 4, lags(1)
pescadf d.ln_agr if inc_lev == 4, lags(1)
pescadf ln_agr if inc_lev == 4, lags(1) trend
pescadf d.ln_agr if inc_lev == 4, lags(1) trend
pescadf ln_agr if inc_lev == 4, lags(2)
pescadf d.ln_agr if inc_lev == 4, lags(2)
pescadf ln_agr if inc_lev == 4, lags(2) trend
pescadf d.ln_agr if inc_lev == 4, lags(2) trend
* Population Density
pescadf ln_pop if inc_lev == 4, lags(0)
pescadf d.ln_pop if inc_lev == 4, lags(0)
pescadf ln_pop if inc_lev == 4, lags(0) trend
pescadf d.ln_pop if inc_lev == 4, lags(0) trend
pescadf ln_pop if inc_lev == 4, lags(1)
pescadf d.ln_pop if inc_lev == 4, lags(1)
pescadf ln_pop if inc_lev == 4, lags(1) trend
pescadf d.ln_pop if inc_lev == 4, lags(1) trend
pescadf ln_pop if inc_lev == 4, lags(2)
pescadf d.ln_pop if inc_lev == 4, lags(2)
pescadf ln_pop if inc_lev == 4, lags(2) trend
pescadf d.ln_pop if inc_lev == 4, lags(2) trend
* Trade Openness
pescadf ln_trade if inc_lev == 4, lags(0)
pescadf d.ln_trade if inc_lev == 4, lags(0)
pescadf ln_trade if inc_lev == 4, lags(0) trend
pescadf d.ln_trade if inc_lev == 4, lags(0) trend
pescadf ln_trade if inc_lev == 4, lags(1)
pescadf d.ln_trade if inc_lev == 4, lags(1)
pescadf ln_trade if inc_lev == 4, lags(1) trend
pescadf d.ln_trade if inc_lev == 4, lags(1) trend
pescadf ln_trade if inc_lev == 4, lags(2)
pescadf d.ln_trade if inc_lev == 4, lags(2)
pescadf ln_trade if inc_lev == 4, lags(2) trend
pescadf d.ln_trade if inc_lev == 4, lags(2) trend
restore
* Middle-Income Economies
preserve
drop if country == "Myanmar"
drop if country == "Serbia"
* Deforestation Rates
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf def_rate if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.def_rate if inc_lev == 3 | inc_lev == 2, lags(2) trend
* GDP per capita
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf ln_gdp if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.ln_gdp if inc_lev == 3 | inc_lev == 2, lags(2) trend
* GDP per capita ^2
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(2) trend
* Agricultural Area
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf ln_agr if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.ln_agr if inc_lev == 3 | inc_lev == 2, lags(2) trend
* Population Density
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf ln_pop if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.ln_pop if inc_lev == 3 | inc_lev == 2, lags(2) trend
* Trade Openness
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(0)
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(0) trend
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(1)
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(1) trend
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(2)
pescadf ln_trade if inc_lev == 3 | inc_lev == 2, lags(2) trend
pescadf d.ln_trade if inc_lev == 3 | inc_lev == 2, lags(2) trend
restore
* High-Income Economies
* Deforestation Rates
pescadf def_rate if inc_lev == 1, lags(0)
pescadf d.def_rate if inc_lev == 1, lags(0)
pescadf def_rate if inc_lev == 1, lags(0) trend
pescadf d.def_rate if inc_lev == 1, lags(0) trend
pescadf def_rate if inc_lev == 1, lags(1)
pescadf d.def_rate if inc_lev == 1, lags(1)
pescadf def_rate if inc_lev == 1, lags(1) trend
pescadf d.def_rate if inc_lev == 1, lags(1) trend
pescadf def_rate if inc_lev == 1, lags(2)
pescadf d.def_rate if inc_lev == 1, lags(2)
pescadf def_rate if inc_lev == 1, lags(2) trend
pescadf d.def_rate if inc_lev == 1, lags(2) trend
* GDP per capita
pescadf ln_gdp if inc_lev == 1, lags(0)
pescadf d.ln_gdp if inc_lev == 1, lags(0)
pescadf ln_gdp if inc_lev == 1, lags(0) trend
pescadf d.ln_gdp if inc_lev == 1, lags(0) trend
pescadf ln_gdp if inc_lev == 1, lags(1)
pescadf d.ln_gdp if inc_lev == 1, lags(1)
pescadf ln_gdp if inc_lev == 1, lags(1) trend
pescadf d.ln_gdp if inc_lev == 1, lags(1) trend
pescadf ln_gdp if inc_lev == 1, lags(2)
pescadf d.ln_gdp if inc_lev == 1, lags(2)
pescadf ln_gdp if inc_lev == 1, lags(2) trend
pescadf d.ln_gdp if inc_lev == 1, lags(2) trend
* GDP per capita^2
pescadf ln_gdp2 if inc_lev == 1, lags(0)
pescadf d.ln_gdp2 if inc_lev == 1, lags(0)
pescadf ln_gdp2 if inc_lev == 1, lags(0) trend
pescadf d.ln_gdp2 if inc_lev == 1, lags(0) trend
pescadf ln_gdp2 if inc_lev == 1, lags(1)
pescadf d.ln_gdp2 if inc_lev == 1, lags(1)
pescadf ln_gdp2 if inc_lev == 1, lags(1) trend
pescadf d.ln_gdp2 if inc_lev == 1, lags(1) trend
pescadf ln_gdp2 if inc_lev == 1, lags(2)
pescadf d.ln_gdp2 if inc_lev == 1, lags(2)
pescadf ln_gdp2 if inc_lev == 1, lags(2) trend
pescadf d.ln_gdp2 if inc_lev == 1, lags(2) trend
pescadf ln_agr if inc_lev == 1, lags(0)
pescadf d.ln_agr if inc_lev == 1, lags(0)
pescadf ln_agr if inc_lev == 1, lags(0) trend
pescadf d.ln_agr if inc_lev == 1, lags(0) trend
pescadf ln_agr if inc_lev == 1, lags(1)
pescadf d.ln_agr if inc_lev == 1, lags(1)
pescadf ln_agr if inc_lev == 1, lags(1) trend
pescadf d.ln_agr if inc_lev == 1, lags(1) trend
pescadf ln_agr if inc_lev == 1, lags(2)
pescadf d.ln_agr if inc_lev == 1, lags(2)
pescadf ln_agr if inc_lev == 1, lags(2) trend
pescadf d.ln_agr if inc_lev == 1, lags(2) trend
* Population Density
pescadf ln_pop if inc_lev == 1, lags(0)
pescadf d.ln_pop if inc_lev == 1, lags(0)
pescadf ln_pop if inc_lev == 1, lags(0) trend
pescadf d.ln_pop if inc_lev == 1, lags(0) trend
pescadf ln_pop if inc_lev == 1, lags(1)
pescadf d.ln_pop if inc_lev == 1, lags(1)
pescadf ln_pop if inc_lev == 1, lags(1) trend
pescadf d.ln_pop if inc_lev == 1, lags(1) trend
pescadf ln_pop if inc_lev == 1, lags(2)
pescadf d.ln_pop if inc_lev == 1, lags(2)
pescadf ln_pop if inc_lev == 1, lags(2) trend
pescadf d.ln_pop if inc_lev == 1, lags(2) trend
* Trade Openness
pescadf ln_trade if inc_lev == 1, lags(0)
pescadf d.ln_trade if inc_lev == 1, lags(0)
pescadf ln_trade if inc_lev == 1, lags(0) trend
pescadf d.ln_trade if inc_lev == 1, lags(0) trend
pescadf ln_trade if inc_lev == 1, lags(1)
pescadf d.ln_trade if inc_lev == 1, lags(1)
pescadf ln_trade if inc_lev == 1, lags(1) trend
pescadf d.ln_trade if inc_lev == 1, lags(1) trend
pescadf ln_trade if inc_lev == 1, lags(2)
pescadf d.ln_trade if inc_lev == 1, lags(2)
pescadf ln_trade if inc_lev == 1, lags(2) trend
pescadf d.ln_trade if inc_lev == 1, lags(2) trend
*=====================================================
* Cointegration Tests
*-----------------------------------------------------
* Kao (1999), Pedroni (1999, 2004), Westerlund (2005)
*=====================================================
* Low-Income Economies
preserve
drop if country == "Eritrea"
drop if country == "Ethiopia"
* Method: Kao
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 4
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 4, lags(aic)
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, lags(aic)
* Method: Pedroni
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 4
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 4, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 4, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 4, trend lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, trend lags(aic)
* Method: Westerlund
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 4
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 4, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 4, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 4, trend allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 4, trend allpanels
restore
* Middle-Income Economies
preserve
drop if country == "Myanmar"
drop if country == "Serbia"
* Method: Kao
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(aic)
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, lags(aic)
* Method: Pedroni
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, trend lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, trend lags(aic)
* Method: Westerlund
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 3 | inc_lev == 2, trend allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 3 | inc_lev == 2, trend allpanels
restore
* High-Income Economies
* Method: Kao
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 1
xtcointtest kao def_rate ln_gdp ln_gdp2 if inc_lev == 1, lags(aic)
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1
xtcointtest kao def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, lags(aic)
* Method: Pedroni
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 1
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 1, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 1, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 if inc_lev == 1, trend lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, trend
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, lags(aic)
xtcointtest pedroni def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, trend lags(aic)
* Method: Westerlund
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 1
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 1, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 1, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 if inc_lev == 1, trend allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, trend
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, allpanels
xtcointtest westerlund def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade if inc_lev == 1, trend allpanels
*==================================================
* MODEL 1
*--------------------------------------------------
* Methodology:
* - Panel Data, Fixed Effects
* - Driscoll & Kraay (1988) robust standard errors
*==================================================
* Low-Income Economies
preserve
keep if inc_lev == 4
*drop if country == "Eritrea"
*drop if country == "Ethiopia"
eststo: xtscc def_rate ln_gdp ln_gdp2, fe lag(2)
restore
* Middle-Income Economies
preserve
keep if inc_lev == 3 | inc_lev == 2
*drop if country == "Myanmar"
*drop if country == "Serbia"
eststo: xtscc def_rate ln_gdp ln_gdp2, fe lag(2)
restore
* High-Income Economies
preserve
keep if inc_lev == 1
eststo: xtscc def_rate ln_gdp ln_gdp2, fe lag(2)
restore
* Tabulation
esttab, label se(3) star(* 0.1 ** 0.05 *** 0.01) ///
title(EKC for deforestation (Driscoll & Kraay standard errors)) ///
nonumbers mtitles ("Low""Middle""High")
eststo clear
*==================================================
* MODEL 2
*--------------------------------------------------
* Methodology:
* - Panel Data, Fixed Effects
* - Driscoll & Kraay (1988) robust standard errors
*==================================================
* Low-Income Economies
preserve
keep if inc_lev == 4
*drop if country == "Eritrea"
*drop if country == "Ethiopia"
eststo: xtscc def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, fe lag(2)
restore
* Middle-Income Economies
preserve
keep if inc_lev == 3 | inc_lev == 2
*drop if country == "Myanmar"
*drop if country == "Serbia"
eststo: xtscc def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, fe lag(2)
restore
* High-Income Economies
preserve
keep if inc_lev == 1
eststo: xtscc def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade, fe lag(2)
restore
* Tabulation
esttab, label se(3) star(* 0.1 ** 0.05 *** 0.01) ///
title(EKC for deforestation (Driscoll & Kraay standard errors)) ///
nonumbers mtitles ("Low""Middle""High")
eststo clear
*======================================================
* MODEL 3
*------------------------------------------------------
* Methodology:
* - Pooled Mean Group estimation (Pesaran et al, 1999)
* - ARDL with cross-sectional means
*======================================================
set more off
set matsize 800
set emptycells drop
* Low-Income Economies, ARDL (1,1,1,1,1,1)
preserve
drop if country == "Eritrea"
drop if country == "Ethiopia"
keep if inc_lev == 4
xtset year id
bys year: egen def_rate_bar = mean(def_rate)
bys year: egen ln_gdp_bar = mean(ln_gdp)
bys year: egen ln_gdp2_bar = mean(ln_gdp2)
bys year: egen ln_gdp3_bar = mean(ln_gdp3)
bys year: egen ln_agr_bar = mean(ln_agr)
bys year: egen ln_pop_bar = mean(ln_pop)
xtset id year
eststo: xtpmg d.def_rate d.ln_gdp d.ln_gdp2 d.ln_agr d.ln_pop d.ln_trade, ///
lr(l.def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade) mg replace
restore
* Middle-Income Economies, ARDL (1,1,1,1,1,1)
preserve
drop if country == "Myanmar"
drop if country == "Serbia"
keep if inc_lev == 2 | inc_lev == 3
xtset year id
bys year: egen def_rate_bar = mean(def_rate)
bys year: egen ln_gdp_bar = mean(ln_gdp)
bys year: egen ln_gdp2_bar = mean(ln_gdp2)
bys year: egen ln_gdp3_bar = mean(ln_gdp3)
bys year: egen ln_agr_bar = mean(ln_agr)
bys year: egen ln_pop_bar = mean(ln_pop)
xtset id year
eststo: xtpmg d.def_rate d.ln_gdp d.ln_gdp2 d.ln_agr d.ln_pop d.ln_trade, ///
lr(l.def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade) mg replace
restore
* High-Income Economies, ARDL (1,1,1,1,1,1)
preserve
keep if inc_lev == 1
xtset year id
bys year: egen def_rate_bar = mean(def_rate)
bys year: egen ln_gdp_bar = mean(ln_gdp)
bys year: egen ln_gdp2_bar = mean(ln_gdp2)
bys year: egen ln_gdp3_bar = mean(ln_gdp3)
bys year: egen ln_agr_bar = mean(ln_agr)
bys year: egen ln_pop_bar = mean(ln_pop)
xtset id year
eststo: xtpmg d.def_rate d.ln_gdp d.ln_gdp2 d.ln_agr d.ln_pop d.ln_trade, ///
lr(l.def_rate ln_gdp ln_gdp2 ln_agr ln_pop ln_trade) mg replace
restore
* Tabulation
esttab, label se(3) star(* 0.1 ** 0.05 *** 0.01) ///
title(EKC for deforestation (PMG with cross-sectional means)) ///
nonumbers mtitles ("Low""Middle""High")
eststo clear
*==============
* Scatter Plot
*==============
* Generate models' coordinates
preserve
keep if year == 2015
gen for_land = for / land
label var for_land "Forest Area (% Land)"
* Model 1
scalar tp1 = log(200)
display tp1
scalar model1 = 0.0123*(tp1) -0.00116*(tp1^2) -0.0197
display model1
gen y_model1 = 0.075
gen x_model1 = tp1
gen model1 = "Model 1: US$ 200"
* Model 2
scalar tp2 = log(796.32)
display tp2
scalar model2 = 0.00962*(tp4) -0.00072*(tp4^2) -0.0195
display model2
gen y_model2 = 0.075
gen x_model2 = tp2
gen model2 = "Model 2: US$ 796"
* Model 3
scalar tp3 = log(3789.54)
display tp3
scalar model3 = 0.0272*(tp8) -0.000165*(tp8^2) -0.0966
display model3
gen y_model3 = 0.075
gen x_model3 = tp3
gen model3c= "Model 3: US$ 3,790"
* Regions
gen reg = 1 if region == 1
replace reg = 2 if region == 2 | region == 3
replace reg = 3 if region == 4
replace reg = 4 if region == 5 | region == 6
* Scatter plot
twoway (lowess def_rate ln_gdp, bwidth(0.5) lcolor(red)) ///
(scatter def_rate ln_gdp if reg == 1 [w = for_land], msize(tiny) mcolor("130 112 87") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 2 [w = for_land], msize(tiny) mcolor(midgreen) msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 3 [w = for_land], msize(tiny) mcolor("232 180 11") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 4 [w = for_land], msize(tiny) mcolor("54 147 193") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 1, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor("66 54 37") mfcolor(%70) mlcolor(%0) mlabposition(1)) ///
(scatter def_rate ln_gdp if reg == 2, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor("27 132 6") mfcolor(%70) mlcolor(%0) mlabposition(1)) ///
(scatter def_rate ln_gdp if reg == 3, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor(dkorange) mfcolor(%70) mlcolor(%0) mlabposition(1)) ///
(scatter def_rate ln_gdp if reg == 4, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor(navy) mfcolor(%70) mlcolor(%0) mlabposition(4)) ///
(scatter y_model1 x_model1 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model1) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
(scatter y_model2 x_model2 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model2) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
(scatter y_model3 x_model3 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model3) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
, ///
xline(5.29, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
xline(6.68, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
xline(8.24, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
ytitle("2015 Total Forest Deforestation Rates", size(vsmall)) ///
ylabel(-0.05(0.025)0.075, labsize(small) tlength(vsmall)) ///
xtitle("2015 GDP per capita (constant US$ 2010) (ln)", size(vsmall)) ///
xlabel(5(1)12, labsize(small) tlength(vsmall) grid) ///
legend(order(1 "LOWESS" 2 "Africa" 3 "Asia and Oceania" 4 "Latin America" 5 "Europe and North America") ///
rows(2) rowgap(minuscule) colgap(minuscule) size(vsmall)) ///
scheme(s2mono)
expand 4
sort id reg
replace def_rate =. if mod(_n,4) > 0
recode reg (1=2) (2=3) (3=4) (4=1) if mod(_n,4) == 1
recode reg (1=3) (2=4) (3=1) (4=2) if mod(_n,4) == 2
recode reg (1=4) (2=1) (3=2) (4=3) if mod(_n,4) == 3
twoway (lowess def_rate ln_gdp, bwidth(0.5) lcolor(red)) ///
(scatter def_rate ln_gdp if reg == 1 [w = for_land], msize(tiny) mcolor("130 112 87") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 2 [w = for_land], msize(tiny) mcolor(midgreen) msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 3 [w = for_land], msize(tiny) mcolor("232 180 11") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 4 [w = for_land], msize(tiny) mcolor("54 147 193") msymbol(circle) mfcolor(%70) mlcolor(%0)) ///
(scatter def_rate ln_gdp if reg == 1, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor("66 54 37") mfcolor(%70) mlcolor(%0) mlabposition(5)) ///
(scatter def_rate ln_gdp if reg == 2, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor("27 132 6") mfcolor(%70) mlcolor(%0) mlabposition(1)) ///
(scatter def_rate ln_gdp if reg == 3, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor(dkorange) mfcolor(%70) mlcolor(%0) mlabposition(1)) ///
(scatter def_rate ln_gdp if reg == 4, msymbol(none) mlabel(id) mlabsize(tiny) mlabcolor(navy) mfcolor(%70) mlcolor(%0) mlabposition(4)) ///
(scatter y_model1 x_model1 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model1) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
(scatter y_model2 x_model2 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model2) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
(scatter y_model3 x_model3 if _n == 1, mcolor("65 193 244") mlcolor(%0) msize(small) msymbol(none) mlabel(model3) mlabsize(vsmall) mlabcolor(black) mlabposition(5)) ///
, ///
xline(5.29, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
xline(6.68, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
xline(8.24, lcolor(black%50) lpattern(shortdash) lwidth(vthin)) ///
ytitle("2015 Total Forest Deforestation Rates", size(vsmall)) ///
ylabel(-0.05(0.025)0.075, labsize(small) tlength(vsmall)) ///
xtitle("2015 GDP per capita (constant US$ 2010) (ln)", size(vsmall)) ///
xlabel(5(1)12, labsize(small) tlength(vsmall) grid) ///
legend(order(1 "LOWESS" 2 "Africa" 3 "Asia and Oceania" 4 "Latin America" 5 "Europe and North America") ///
rows(2) rowgap(minuscule) colgap(minuscule) size(vsmall)) ///
scheme(s2mono)
graph export "C:\Users\Nicola Caravaggio\OneDrive\Desktop\Paper EKCd\Stuff\Figs\def_rate_2015_TPs.pdf", as(pdf) replace
graph export "C:\Users\Nicola Caravaggio\OneDrive\Desktop\Paper EKCd\Stuff\Figs\def_rate_2015_TPs.png", as(png) replace
restore