xtset country year


**** Figure 2
*THE EVOLUTION OF COVER RATIOS OVER TIME (1950-1970)

egen cover50=mean(cover/(year==1950)), by(country)
egen cover70=mean(cover/(year==1970)), by(country)
gen coverev = cover70-cover50
graph twoway (lfitci coverev cover50 if year==1970 & country!=53) (scatter coverev cover50  if year ==1970 & country!=53, mlabel(country)) 
*THE EVOLUTION OF GOLD SHARES OVER TIME (1950-1970)

egen goldshare50=mean(goldshare/(year==1950)), by(country)
egen goldshare70=mean(goldshare/(year==1970)), by(country)
gen evgold5070 = goldshare70-goldshare50
graph twoway (lfitci evgold5070 goldshare50 if year==1970 & country!=53) (scatter evgold5070 goldshare50  if year ==1970 & country!=53, mlabel(country)) 

*** Figure 3
*NUMBER OF YEARS IN THE GOLD STANDARD VS. AVERAGE AGE OF CENTRAL BANKS' GOVERNORS
graph twoway (lfitci gstdy avage, mlabel(country)) (scatter gstdy avage, mlabel(country)) 
*Alternative: graph twoway (lfitci gstdyxcol avage, mlabel(country)) (scatter gstdyxcol avage, mlabel(country)) 

*** Figure 4
* Rolling correlation between gold share and currency/GDP (3-year window)
bys year: asreg goldshare currencygdp, wind(year 3) se
generate lower = _b_currencygdp - 1.96*_se_currencygdp
generate upper = _b_currencygdp + 1.96*_se_currencygdp
twoway (line _b_currencygdp year) (rline lower upper year),ytitle("Beta")


**** ESTIMATION TABLES
***Creation of interaction variables
gen interactgs2xcol=currencygdp*gs2xcol
la var interactgs2xcol "Gold standard x currency"
gen interactgstdyxcol=currencygdp*gstdyxcol
la var interactgstdyxcol "Gold standard (years) x currency"
gen interactavage=currencygdp*avage
la var interactavage "Currency x Age of governors"
gen interdeleg=currencygdp*delegates
la var interdeleg "Currency x delegates"

**** Table 1  
*Pooled panel
reg goldshare  trade_gdp currencygdp  i.year if moneyminuscurencygdp != . & year < 1971, vce(robust)
outreg2 using t1.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES) keep(trade_gdp currencygdp)
*Pooled panel
reg goldshare trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t1.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES) keep(trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop)
*Country-Fixed effects
xtreg goldshare trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using t1.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES) keep(trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop)


**** Table 2 

*Pooled panel
reg goldshare trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year < 1971, vce(robust)
outreg2 using t2.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
*Pooled panel (just countries with at least a year in gs)
reg goldshare  trade_gdp currencygdp gstdyxcol interactgstdyxcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t2.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol)
*Pooled panel (delegates nb of years)
reg goldshare  trade_gdp currencygdp gstdyxcol delegates interdeleg moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t2.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(currencygdp gstdyxcol delegates interdeleg) 



**** Table 3  (all Pooled panel)

reg goldshare  trade_gdp currencygdp avage interactavage moneyminuscurencygdp premium cap100 currentaccgdp rrfine  lpop i.year if year<1971 , vce(robust)
outreg2 using t3.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp avage interactavage)
reg goldshare  trade_gdp currencygdp gs2xcol interactgs2xcol avage interactavage  moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if  year < 1971, vce(robust)
outreg2 using t3.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol avage interactavage)
reg goldshare  trade_gdp currencygdp gstdyxcol interactgstdyxcol avage interactavage  moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t3.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol avage interactavage )


**** Table 4 . Alternative dependent variables

*Pooled panel
reg ngres_pib  trade_gdp currencygdp gs2xcol moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t4.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
*Pooled panel
reg ngres_pib  trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
*Pooled panel
reg gres_pib trade_gdp currencygdp gs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop  i.year if year < 1971, vce(robust)
outreg2 using t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
*Pooled panel
reg gres_pib trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
*Country-Fixed effects
xtreg ngres_pib trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using t4.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp)
*Country-Fixed effects
xtreg gres_pib trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using t4.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp)

****Table 5. Before and after 1959
reg goldshare trade_gdp currencygdp gs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year < 1960, vce(robust)
outreg2 using t6.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
reg goldshare trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year < 1960, vce(robust)
outreg2 using t6.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
reg goldshare  trade_gdp currencygdp gstdyxcol interactgstdyxcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1960, vce(robust)
outreg2 using t6.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol)
reg goldshare trade_gdp currencygdp gs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year > 1959 & year < 1971, vce(robust)
outreg2 using t6.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
reg goldshare trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year > 1959 & year < 1971, vce(robust)
outreg2 using t6.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
reg goldshare  trade_gdp currencygdp gstdyxcol interactgstdyxcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year > 1959 & year < 1971, vce(robust)
outreg2 using t6.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol)

***** ROBUSTNESS CHECKS (results not reproduced in the paper)

**** Geopolitical considerations: excluding japan germany latin america 
reg goldshare trade_gdp currencygdp gs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  country!=14 & country!=32 & lac==0 &  year < 1971, vce(robust)
outreg2 using t11.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
xtreg goldshare trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  country!=14 & country!=32 & lac==0 &  year < 1971, fe vce(robust)
outreg2 using t11.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp)
reg goldshare trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  country!=14 & country!=32 & lac==0 &  year < 1971, vce(robust)
outreg2 using t11.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol )

*** Using "gs2" instead of "gs2xcol" (that is code non sovereign countries as sovereign countries)
gen interactgs2 = currencygdp*gs2
reg goldshare trade_gdp currencygdp gs2 moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if   year < 1971, vce(robust)
outreg2 using t12.xls, replace ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol)
reg goldshare trade_gdp currencygdp gs2 interactgs2 moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if   year < 1971, vce(robust)
outreg2 using t12.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2 interactgs2 )
reg goldshare trade_gdp currencygdp gstdy interactgstdy moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if   year < 1971, vce(robust)
outreg2 using t12.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdy interactgstdy )

**** Previous results using alternatives independent variables (gold reserves to GDP, foreign reserves to GDP)
*as previously published in Monnet & Puy, International Monetary Fund working paper n°19/161

*** Table 1  ('gres_pib' are gold reserves to GDP)
*Pooled panel
reg gres_pib  trade_gdp currencygdp  i.year if moneyminuscurencygdp != . & year < 1971, vce(robust)
outreg2 using $a\t1.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES) keep(trade_gdp currencygdp)
*Pooled panel
reg gres_pib trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using $a\t1.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES) keep(trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop)
*Country-Fixed effects
xtreg gres_pib trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using $a\t1.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES) keep(trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop)


**** Table 2 

*Pooled panel
reg gres_pib trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if  year < 1971, vce(robust)
outreg2 using $a\t2.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol)
*Pooled panel (just countries with at least a year in gs)
reg gres_pib  trade_gdp currencygdp gstdyxcol interactgstdyxcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if gstdyxcol>0 & year < 1971, vce(robust)
outreg2 using $a\t2.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol)
*Pooled panel (delegates)
reg gres_pib  trade_gdp currencygdp gs2xcol delegates interdeleg moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using $a\t2.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(currencygdp gs2xcol delegates interdeleg) 
*Country-Fixed effects
xtreg gres_pib trade_gdp currencygdp  moneyminuscurencygdp premium cap100 currentaccgdp rrfine  lpop i.year if gs2xcol==1 & year < 1971 , fe cluster(country)
outreg2 using $a\t2.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES)  keep(trade_gdp currencygdp )


**** Table 3  (all Pooled panel)
** "avage" is the average age of governors
** "interactage" is the interaction variable between "avage" and currencygdp 

reg gres_pib  trade_gdp currencygdp avage interactavage moneyminuscurencygdp premium cap100 currentaccgdp rrfine  lpop i.year if year<1971 , vce(robust)
outreg2 using $a\t3.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp avage interactavage)
reg gres_pib  trade_gdp currencygdp gs2xcol interactgs2xcol avage interactavage  moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if  year < 1971, vce(robust)
outreg2 using $a\t3.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gs2xcol interactgs2xcol avage interactavage)
reg gres_pib  trade_gdp currencygdp gstdyxcol interactgstdyxcol avage interactavage  moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if gstdyxcol>0 & year < 1971, vce(robust)
outreg2 using $a\t3.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES) keep(trade_gdp currencygdp gstdyxcol interactgstdyxcol avage interactavage )

*** Table 4 (robustness. Alternative dependent variables . "ngres_pib" are non gold reserves to GDP)
*Pooled panel
reg ngres_pib  trade_gdp currencygdp gs2xcol moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES)
*Pooled panel
reg ngres_pib  trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp  premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES)
*Pooled panel
reg goldshare  trade_gdp currencygdp gs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop  i.year if year < 1971, vce(robust)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES)
*Pooled panel
reg goldshare  trade_gdp currencygdp gs2xcol interactgs2xcol moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, vce(robust)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, NO, Year FE, YES, Controls, YES)
*Country-Fixed effects
xtreg ngres_pib trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES)
*Country-Fixed effects
xtreg goldshare trade_gdp currencygdp moneyminuscurencygdp premium cap100 currentaccgdp rrfine lpop i.year if year < 1971, fe cluster(country)
outreg2 using $a\t4.xls, append ctitle("`i'") label addtext(Country FE, YES, Year FE, YES, Controls, YES)