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  • Institutions in 2SLS

    I am testing the relationship between entrepreneurship and GDP through the effect of institutions on entrepreneurship. The variables I am using for institutions are (government effectiveness, control of corruption, rule of law, property rights, regulatory quality, voice and accountability).

    I am supposed to do the first regression of institution variables and doing business variables on entrepreneurship, then second regression entrepreneurship and all my variables on GDP.

    Should I add exclusion variables in 1st and 2snd regressions or the the variables used for institutions are enough?

    What are the commands I should be using in this case?

    I need help also in making a regression for all the countries, then make regression for each High income, upper middle, lower middle, low income countries. I have their category already in the data.

    Thanks

  • #2
    Would you help me in this issue? It is urgent for me. Ali Atia

    Thanks

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