Changes

{{Project|Has project output=Tool|Has sponsor=McNair ProjectsCenter

|Has project status=ActiveComplete

===Inputs and Outputs===

===Running Code===

*Run script LBOmatchscript.jl include("LBOmatchscript.jl")

===Options===

There are a few things options that can be customized in the scriptbefore running. Getting this the code into a more user-friendly form is a WIP. In fact, some parts might be difficult, if not impossible, to write in a more accessible way.

*If matching ===Specify input file (if using different file, modifyline 12: readtable("Filepath"than default)===

Line 12: df = readtable(Not implemented yet"E: More user-friendly way to input restrictions/McNair/Projects/LBO/Clean/STATApredictLBOclean.txt", separator = '\t'); *===Specify which observations are valid for matching. ===*For now, we filter out all firms that were never granted a single patent in the period 1970-2015*For firms that LBO, we also drop their observations in all other years from the list of candidates to match to other LBOs*See inline comments in code for detailed description of what matchfilter2, matchfilter4, etc. represent

*===Specify propensity score type to use for matching=== *Options are: logitp (panel logit), probitp (panel probit), or Cox proportional hazard (hr)*Alternatively, can use the aboveoptions, with regressions performed using winsorized values of regressors (trimmed at 1st and 99th percentiles):logitpw, probitpw, hrwline 58: mscore = :logitpw; *Specify whether matching priority should be deterministic or random. If deterministic, priority goes to lower GVKEYline 61: randoption = 0;

#note that the below syntax is the simplest way to store a long string over multiple lines #===Specify additional constraints on valid matches (i.e., appending additional characters per linemodify code within function mcexpr as desired)=== #Also*For example, note that order of operations default code forces us matches to put each condition in parenthesesbe within the same industry group, within the same decade, and with patent stocks within +/- 20% of LBO firm.

Lines 69-81: function mcexpr(i) #note that the below syntax is the simplest way to store a long string over multiple lines #(i.e., appending additional characters per line) #Also, note that order of operations forces us to put each condition in parentheses mcriteria = "nonLBOs[:matchsubset] = (nonLBOs[:industrygroup3].== LBOs[$i,:industrygroup3])" mcriteria = mcriteria * " .* (nonLBOs[:decade].==LBOs[$i,:decade])" mcriteria = mcriteria * " .* (nonLBOs[:patentstock] .>= (LBOs[$i,:patentstock]*.8))" mcriteria = mcriteria * " .* (nonLBOs[:patentstock] .<= (LBOs[$i,:patentstock]*1.2))" mcriteria = mcriteria * " .* (nonLBOs[:matchpair] .== 0 )" return eval(parse(mcriteria)) end