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  • Using IV probit with Fairlie Decomposition

    Hello,

    My professor and I are using -fairlie- to do Fairlie's nonlinear decomposition, and we want to do so with an IV probit model. We are using Stata 15.1 for Windows.

    The fairlie package has a built-in option to use a probit model (option "probit"), but we do not see a way to use an IV probit model. Our command with the probit option looks like this:

    fairlie depvar indepvar if d_caste ==1 | p_caste==1, by(p_caste) probit ro reps(1000)

    Does anyone know of a way to use IV probit instead? Thank you.


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