clear
set mem 30M
set more off

cd "C:\Users\josh\Documents\My Dropbox\Classes\Econ 174\Section"
capture log close
log using week14.log.log, replace

sysuse auto, clear

* basic scatter
twoway (scatter mpg price, sort), ytitle(MPG) xtitle(Price) title(MPG vs Price) xline(6000)

* spline 
reg mpg price if price<=6000
predict pred_less if price<=6000

reg mpg price if price>6000
predict pred_great if price>6000

twoway (scatter bin_avg bin, msymbol(oh) sort) (line pred_less price if price<=6000) (line pred_great price if price>6000), xline(6000) legend(off) ytitle(MPG) xtitle(Price) title(MPG vs Price) xline(6000)