Basic Variables (Expressions and Variables)

Here is a small program that converts a price in U.S. dollars to a price in Euros and then prints out the resulting value.

    gen         p_usd = 2.62
    gen         p_euro = p_usd * 0.86
    display     p_euro

Create similar code to calculate the exchange rate between Euros and British Pounds.

• Start by creating an “empty” data set by typing set obs 1. This creates a single row in Stata’s data frame.
• Create a variable to store a price in Euros. Assign this variable a value of 5.87 (the price of a BigMac).
• Create a variable to store a price in Pounds. Assign this variable a value of 5.09.
• Calculate and print the exchange rate (the value of 1 Euro in GBP).