[python] Creating dummy variables in pandas for python

So I was actually needing an answer to this question today (7/25/2013), so I wrote this earlier. I've tested it with some toy examples, hopefully you get some mileage out of it

def categorize_dict(x, y=0):
    # x Requires string or numerical input
    # y is a boolean that specifices whether to return category names along with the dict.
    # default is no
    cats = list(set(x))
    n = len(cats)
    m = len(x)
    outs = {}
    for i in cats:
        outs[i] = [0]*m
    for i in range(len(x)):
        outs[x[i]][i] = 1
    if y:
        return outs,cats
    return outs