clear all
set more off
set maxvar 10000

*Set path
***

*cd ---- specify path to \data_replication\psid\

local procdata  "./proc_data/"
local rawdata  "./raw_data/"

cd proc_data

use for_reg.dta, clear

*Prepare the panel
drop if age<25 & year==1999
drop if age>85 & year==2011
bys hid: gen nyear=[_N]
keep if nyear==7

keep fam_ID year hid
save income_panel2.dta, replace

cd ..


*###############################################################################
*Prepare the refinancing data for each year
*###############################################################################
foreach x of numlist 99 01 03 05 07 09 11{
clear
*###############################################################################
*Prepare the consumption data
*###############################################################################

if `x'==99 | `x'==11{
*Convert PSID consumption files to stata format
cd raw_data
do CON`x'.do
ren CON`x'_ID fam_ID
if `x'==99 {
gen year=19`x'
*join with income
cd ..
joinby fam_ID year using `procdata'income_panel2.dta, unmatched(both)
drop if _merge!=3
drop _merge 
save `procdata'cons_temp19`x'.dta,replace
}
else{
gen year=20`x'
*join with income
cd ..
joinby fam_ID year using `procdata'income_panel2.dta, unmatched(both)
drop if _merge!=3
drop _merge 
save `procdata'cons_temp20`x'.dta,replace
}
}
else{
*Convert PSID consumption files to stata format
cd raw_data
do CON0`x'.do
ren CON0`x'_ID fam_ID
gen year=200`x'
*join with income
cd ..
joinby fam_ID year using `procdata'income_panel2.dta, unmatched(both)
drop if _merge!=3
drop _merge 
save `procdata'cons_temp200`x'.dta,replace

}
}


cd proc_data
*Create consumption variables for each year
*note that some files contain more variables
*1999
use cons_temp1999.dta, clear
gen food_cons=FOOD99
gen rent_cons=RENT99
gen util_cons=UTIL99
gen tran_cons=TRAN99
gen educ_cons=ED99
gen kids_cons=CHILD99
gen heal_cons=HEALTH99
keep food_cons rent_cons util_cons tran_cons educ_cons kids_cons heal_cons hid year
save cons1999.dta, replace 
*2001 and 2003
forval x=2001(2)2003{
local i=`x'-2000
use cons_temp200`i'.dta, clear
gen food_cons=FOOD0`i'
gen rent_cons=RENT0`i'
gen util_cons=UTIL0`i'
gen tran_cons=TRAN0`i'
gen educ_cons=ED0`i'
gen kids_cons=CHILD0`i'
gen heal_cons=HEALTH0`i'
keep food_cons rent_cons util_cons tran_cons educ_cons kids_cons heal_cons hid year
save cons`x'.dta, replace
}
*2005,2007 and 2009
forval x=2005(2)2009{
local i=`x'-2000
use cons_temp200`i'.dta, clear
gen food_cons=FOOD0`i'
gen rent_cons=RENT0`i'
gen util_cons=UTIL0`i'
gen tran_cons=TRAN0`i'
gen educ_cons=ED0`i'
gen kids_cons=CHILD0`i'
gen heal_cons=HEALTH0`i'
gen other_cons=TELINT0`i'+CLOTH0`i'+TRIPS0`i'+OTHREC0`i'
keep food_cons rent_cons util_cons tran_cons educ_cons kids_cons heal_cons hid year other_cons
save cons`x'.dta, replace
}
*2011
use cons_temp2011.dta, clear
gen food_cons=FOOD11
gen rent_cons=RENT11
gen util_cons=UTIL11
gen tran_cons=TRAN11
gen educ_cons=ED11
gen kids_cons=CHILD11
gen heal_cons=HEALTH11
gen other_cons=TELINT11+CLOTH11+TRIPS11+OTHREC11
keep food_cons rent_cons util_cons tran_cons educ_cons kids_cons heal_cons hid year other_cons
save cons2011.dta, replace