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- If necessary, use the 'by(varname)' option to define the groups for analysis. Remember that varname must indicate the group classifications effectively.
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In economics, decomposition refers to the process of breaking down a complex outcome into simpler components to understand the underlying factors. This method helps clarify how different variables interact to produce overall effects. Embracing an Annotated Stata Example Using Nldecompose can facilitate this understanding, allowing economists to make informed decisions based on their analysis.
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