Hi,
I'm running a 3 equation simultaneous equation model. I've done some searching online and sadly, it seems there is no way to separate each endogenous variable and its associated instruments if I use xtivreg2.
I have a question about xtivreg2.
If I have the below dependent variables and instruments:
Y1 has instruments Z1, Z2, Z3 and Z4
Y2 has instruments Z1, Z2, Z5 and Z6
Y3 has instruments Z7
If I run xtivreg2 on Y1:
xtivreg2 Y2 X1 X2 (Y2 Y3 = Z5 Z6 Z7), i(id) fe robust
Do I include Z1 and Z2 in the list of exogenous variables (alongside X1 and X2)?
Thanks!
I'm running a 3 equation simultaneous equation model. I've done some searching online and sadly, it seems there is no way to separate each endogenous variable and its associated instruments if I use xtivreg2.
I have a question about xtivreg2.
If I have the below dependent variables and instruments:
Y1 has instruments Z1, Z2, Z3 and Z4
Y2 has instruments Z1, Z2, Z5 and Z6
Y3 has instruments Z7
If I run xtivreg2 on Y1:
xtivreg2 Y2 X1 X2 (Y2 Y3 = Z5 Z6 Z7), i(id) fe robust
Do I include Z1 and Z2 in the list of exogenous variables (alongside X1 and X2)?
Thanks!
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