```.-
help for ^mkbilogn^
.-

Creation of bivariate lognormal variables
-----------------------------------------

^mkbilogn^ var1 var2 [, ^r(^#^)^ ^m1(^#^)^ ^s1(^#^)^ ^m2(^#^)^ ^s2(^#^)^ ]

Options
-------
^r(^#^)^        correlation of ln(var1) and ln(var2); default is .5.
^m1(^#^)^       mean of ln(var1); default is 0.
^s1(^#^)^       standard deviation of ln(var1); default is 1.
^m2(^#^)^       mean of ln(var2); default is 0.
^s2(^#^)^       standard deviation of ln(var2); default is 1.

Saved results
-------------
Two new variables (var1, var2) are added to the data set.

Description
-----------
^mkbilogn^ creates random variables, var1 and var2, drawn from a
bivariate lognormal distribution defined as follows. As n --> oo,
X1 (var1) and X2 (var2) are such that x1=log(X1) and x2=log(X2)
are bivariate Normal distributed with mean(x1) = m1, mean(x2) = m2,
s.d.(x1) = s1, s.d.(x2) = s2, corr(x1,x2) = rho. The parameters of
the distribution can be optionally chosen by the user, or default
to the values specified above.

The program applies the methods proposed at the Stata FAQ:
http://www.stata.com/support/faqs/stat/mvnorm.html

Examples
--------
. ^mkbilogn x y^

. ^clear^
. ^set obs 10000^
. ^mkbilogn x1 x2, r(.3) m1(1) s1(2) m2(3) s2(4)^
. ^ge ly1 = ln(y1)^
. ^ge ly2 = ln(y2)^
. ^su^
. ^corr^

Author
------
Stephen P. Jenkins <stephenj@@essex.ac.uk>
Institute for Social and Economic Research
University of Essex, Colchester CO4 3SQ, U.K.

```