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  • a binary outcome and endogenous dummy variable

    Dear all


    My analysis is about the effect of students' scores (endogenous dummy variable: whether or not they got good scores) on the decision to go to a college (dummy variable: whether they decide to go to a college). I have got panel data to work with. I do not really know what regression I should work with due to the fact that my outcome is a binary variable so I cannot use normal 2SLS I guess. Next, I am considering probit model which I may use ivprobit but then I found that it cannot be used in panel data. Who knows that what command I should use?

  • #2
    You might want to take a look at here and try special regressor method.
    Code:
    ssc install sspecialreg
    help sspecialreg

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