/*****************************
 * Labor Income *
 * Author(s): Comfort Sumida *
 *****************************/

/****************************************************************************************************
 * Product: Age profiles of labor income                                                            *
 * Data requirements: Individual data employee compensation, entrepreneurial income, retirement pay *
 *    tx19 = individual employee compensation                                                       *
 *    tx24 = individual entrepreneurial income                                                      *
 *    tx15 = individual retirement pay                                                              *
 * Methodology: Direct calculation                                                                  *
 ****************************************************************************************************/

/****************************************************************************
 * note(s): - do-files are for all years (loops)                            *
 *          - estimated age profiles are not adjusted to aggregate controls *
 ****************************************************************************/

# delimit ;
set more off;

log using "C:\Labor Income Components", replace;

forval i = 1976(1)2003 {;

/* using individual data files, as FIES has income data at the individual level */
use "C:\mind`i'.dta", clear;

/* self employment income */
gen YLS = (2/3) * tx24;

/* employee compensation (less retirement pay) */
gen YLE = tx19 - tx15;

gen YL = YLS + YLE;

recode YLS YLE YL (. = 0);
recode age (90/max = 90);

lowess YLE age1, bwidth(0.1) nograph gen(sYLE);
lowess YLS age1, bwidth(0.1) nograph gen(sYLS);
replace sYLE = 0 if sYLE < 0;
replace sYLS = 0 if sYLS < 0;

save "C:\YL`i'", replace;
};

log close;