Introduction to STATA/SPSS

Srinivasulu RajendranCentre for the Study of Regional Development (CSRD)

School of Social Sciences (SSS)Jawaharlal Nehru University (JNU)

New Delhi - 110067India

r.srinivasulu@gmail.com

Objective of the session

To understand the fundamental knowledge of STATA/SPSS

package

1. How do we decide better software for the econometric analysis2. Why do we need SPSS and STATA?3. Introduction to STATA/SPSS and Differences

How do we decide better software for the econometric analysis

STATA

E-ViewsGAMS

SPSS SAS

R

It depends on your analysis

Most preferred Packages for the relevant analysis based on LiteratureDescriptive Statistics - SPSSCross section , Time series and panel data

and Complex Data Management system – STATA and SAS

Advanced Econometrics analysis – STATAAdvanced Econometrics Analysis - Linear

Programming – RTime series analysis - Eviews Qualitative Limited Dependent Variable

Analysis - STATA

Why do we need SPSS?

SPSS is the statistical package

most widely used by political scientists

NOT by econometrician.

There are several reasons for why

It is easier to handle and widely used for descriptive statistics and basic statistical analysis.

One can use it with either a Windows point-and-click approach or through syntax (i.e., writing out of SPSS commands). Each has its own advantages, and the user can switch between the approaches.

Many of the widely used social science data sets come with SPSS format; this significantly reduces the work load for transferring the data into SPSS format.

Source: Harvard-MIT Center

LimitationsFirstly, SPSS users have less control over statistical output

than many other packagesFor beginner , this hardly causes a problem, but once a

researcher wants greater control over the equations or the output, she or he will need to either choose another package or learn techniques for working around on SPSS Limitations.

Secondly, SPSS has problems with certain types of data manipulations But once a researcher begins wanting to significantly alter data sets, he/she will have to either learn a new package or develop greater skills at manipulating SPSS.

Source: Harvard-MIT Center

Overall, SPSS is a friendly package for

beginner users NOT for EXPERTS in the field of

ECONOMETRICS.

Why do we need STATA?“STATA is ideal for people who are

developing or modifying statistical procedures…” Acock (2005)

STATA is adequate on basic analysis but extraordinary on multivariate analysis, complex survey designs, limited dependent variables, epidemiological methods, survival analysis, panel designs, time series, and diagnostics

STATA - fast and clear Can handle large dataset with quick

output

Cont.,STATA have the strongest collection of

advanced statistical procedures.STATA has a command structure that is

simple and consistentThe consistency of STATA is impressiveUser-developed procedures can be installed

over the Internet without leaving STATAThe expandability of STATA is its special

strengthThe documentation for STATA is excellent,

and the ability to download data sets that are used in the examples in the documentation is very helpful

More information – reference course manual.

Introduction to SPSS

SPSS (Statistical Package for the Social Sciences) is a statistical analysis and data management software package. It can generate tabulated reports, charts, and plots of distributions and trends, descriptive statistics, and conduct complex statistical analyses.

More details in SPSS manual

Structure of SPSSThere are six different windows that can be

opened when using SPSS. (Ref:details Babu and Sanyal, 2009 and SPSS guide 17.0)

1. Data Editor,2. Output Navigator,3. The Pivot Table Editor 4. The Chart Editor5. The Text Output Editor and 6. The Syntax Editor.

Data Editor Window

This window contains 11 menus such as File, Edit, View, Data, Transform,

Analyze, Graphs, Utilities, Add-ons, Window and

Help.

Open File

Data Editor

In the Data Editor, if you put the mouse cursor on a variable name (the column heading), a more descriptive variable label is displayed (if a label has been defined for that variable).

Further, to view the label one can also choose the “view” and “value labels”. Descriptive value labels are now displayed to make it easier to interpret the responses.

Output Navigator or Viewer

The Output Navigator window displays the statistical results, tables, and charts from the analysis you performed.

An Output Navigator window opens automatically when you run a procedure that generates output

In the Output Navigator windows, you can edit, move, delete and copy your results in a Microsoft Explorer-like environment.

Running a Analysis

The Syntax Editor

Creating and Data manipulation – Defining variables, Reading data, Transforming data and Creating tables

Introduction to STATA

Stata is a general-purpose statistical software package created in 1985 by StataCorp.

There are four major builds of each version of Stata

1. Stata/MP for multiprocessor computers,

2. Stata/SE for large databases, 3. Stata/IC which is the standard

version, 4. Small Stata which is a smaller,

student version of educational purchase only

STATA MP

Stata/MP is the fastest and largest version of Stata.

Stata/SE, Stata/IC, and Small Stata differ only in the dataset size that each can analyze.

Computer Feature

Package Max. no. of variables

Max. no. of right-hand variables

Max. no. of observations

64-bit version

available?

Fastest: designed for

parallel processing?

Platforms

Stata/MP 32,767 10,998 unlimited* Yes YesWindows, Mac (64-bit Intel), or Unix

Stata/SE 32,767 10,998 unlimited* Yes NoWindows, Mac, or Unix

Stata/IC 2,047 798 unlimited* Yes NoWindows, Mac, or Unix

Small Stata 99 99 1,200 Yes NoWindows, Mac, or Unix

*The maximum number of observations is limited only by the amount of available RAM on your system.

Source: http://www.stata.com/products/which-stata-is-right-for-me/

Requirements

Package Memory Disk space

Stata/MP 512 MB 500 MB

Stata/SE 512 MB 500 MB

Stata/IC 512 MB 500 MB

Small Stata 512 MB 500 MB

Source: http://www.stata.com/products/which-stata-is-right-for-me/