1. Microeconomics Report: Using the TSP a guide for students at the 国際総合学類筑波大学 If you are using a network browser to view this program, please use the “back” button to go to the previous page. Download the entire file to a disk and run the program from there. It will keep your machines from “hanging” as running PowerPoint on the net takes up a large amount of memory. Downloading: point mouse to filename, right click and choose “Save file”.

2. Microeconomics Report: Using TSP Checkpoints: - You have access to a computer terminal at the College and have at least ONCE opened the TSP - You know how to run a simple TSP program for an Ordinary Least Squares (OLSQ) regression - You know either how to use NotePad, EmEditor, or TeraPad or any other Text-File Editor. - You have chosen your sample data: you know what the dependent and independent variables are - You have saved your files in a usable disk. - IF YOU ARE UNABLE TO PUT A CHECK FOR YOURSELF FOR ANY OF THE ABOVE POINTS, GO BACK AND REVIEW “LEARNING THE TSP1” AND “LEARNING THE TSP2”

3. Microeconomics Report: Using TSP PREPARING SAMPLE DATA By now, you should have already downloaded the file Micro1.xls from the homepage, which looks like  The FIRST LINE is the VARIABLE name. What do these mean? To get an idea what the Variable name stands for download microvar.txt from the homepage. Action: - Choose the variables you want. What is you dependent variable? What are the variables representing your objective constraint? What are the variables representing your subjective constraint? - Next, select the columns of the corresponding variables you have picked and paste them to a new file.

4. Microeconomics Report: Using TSP Highlight the columns of the variables you have picked. Paste these columns on to a new worksheet.

5. Microeconomics Report: Using TSP You have just created a sample data. Your new worksheet should now look like this: (SAVE please) Observation Number Quantity of Tomatoes Price of Tomatoes

6. Microeconomics Report: Using TSP Save the Excel File as version4  c.f. LearningTSP1 Note that in the trial runs for this program, somehow TSP is unable to read the newer Excel versions. If you are able to run Excel versions with TSP, please proceed like that. The next part will discuss how to use a text editor to create the sample data for use with TSP.

7. Microeconomics Report: Using TSP Note first how many observations you have. This is your sample number. Select the entire worksheet where you have created your sample data. Paste this on to a text editor file. In these examples I will use EmEditor but you may use either TeraPad or NotePad Save this text file “micro1.txt”

8. Microeconomics Report: Using TSP Preparing text file sample data First, cut the variable name. Remember that it will be hard to retype or even remember the variable name, so it is better to select and cut. ( 切り取り） Paste this line to a new file or anywhere you can retrieve it from for later use. THIS IS HANDY FOR TSP.

9. Microeconomics Report: Using TSP It should now look like this. Save. Mind how many observations you have. Here, I have pasted the variable name line on a blank text file to be used later Make sure: The first line is the first observation. All data are numbers. Saved the file.

10. Microeconomics Report: Using TSP The TSP program file. For this exercise, I will use the entire data sample in a text file, I have named imaginatively “test2.txt”. This contains 50 observations. The data set made available may contain MORE. I have chosen my dependent variable to be the quantity of coffee bought. The rest of the independent variables will be listed. Note we will learn how to (1) make a dummy variable, and (2) how to restrict your sample set.

11. Microeconomics Report: Using TSP DO YOU HAVE YOUR FLOPPY DISK WHICH CONTAINS YOUR DATA? Then proceed. TSP Program You can see that if I had not cut & save the variable names, I would take a long time to retype all the variable names. So be sure you know where your files are! - This set begins with the memory option and freq n; smpl 1 50; to denote the number of observations - Loading the Variables (text) load(file=‘a:\test2.txt’) varnames; OR (xls) load(file=‘a:\test2.xls’) varnames; Step 1 Load the variables

12. Microeconomics Report: Using TSP TSP Program Creating the Dummy Variable A dummy variable has only two values: 1 or zero. The TSP command is: select variablename=value; varname2=0; select 1; - for example, a2 has values 1=male and 2=female, to change into a dummy: select a2=2; a2=0; select 1; means, “choose all a2=2 and change to a2=0, do so for entire sample;” - Now a2 has only two values: 1 and zero. - In this exercise, you must realize by now why A6 and A7 are inherently dummy variables. (Why?) Renaming Variables The TSP Command is: rename varname newvarname; The new variable name must be 16 roman alphabet or numbers and NO SPACE within the name! No special characters allowed! CREATE YOUR OWN VARIABLE NAME!

13. Microeconomics Report: Using TSP TSP Program Getting the Basic Statistics The TSP command is: msd varname1 varname2; - The msd command will give you the mean, standard deviation, minimum and maximum values. Restricting the sample - The TSP command is: smplif varname,=value; - Restrictions are OPTIONAL. You can run regressions on entire sample OR for only a part of the sample. In the example, I have restricted the sample to only the female population to see the demand of coffee by females. Running Ordinary Least Squares - The TSP command is: olsq depvarname c indepvar1,..n;

14. Microeconomics Report: Using TSP TSP Program The Results Basic Statistics Ordinary Least Squares Be sure to save the Input and Output Files! Now create tables for both the Basic Statistics and the Regression Results. Having at most 4 decimal places would be desirable.

15. Microeconomics Report: Using TSP Reporting your results in table formats:

16. Microeconomics Report: Using TSP Based on these results, you should now be able to analyze the demand for coffee in the class. Write out your report and append a copy of the program (printout of output file only) to your report. The sample files indicated in this simple tutorial is available in the homepage, even the TSP program used. お疲れ様でした。 良い年末ように