Simulation code for "Control Variables in Interactive Models"
This repository contains two versions of Stata code to accompany the manuscript "Control Variables in Interactive Models," by deHaan, Moon, Shipman, Swanquist, and Whited (2023, Journal of Financial Reporting). You can find the latest draft on SSRN
The first version is the complete simulation code that produces the tables in the manuscript. This version runs 1,000 iterations of each model.
The second is a simplified version that runs just one iteraction of each model. Regression estimates will not exactly match those in the paper, but it is faster to run and much easier to review output.