Run Seemingly unrelated regression (SUREG) with one of the explanatory variable being latent

[Prince Annor]

Hi All
I have difficulty running an SUREG translog cost function where one of my independent variables is latent. i.e., logC = f(plantlet, agrochemical, labour, capital, quality) but, quality is unobserved and is explained by plantlet, agrochemical, labour, capital, and other quality demand factors (e.g., household income). I will be grateful if I can be advised on how to go about this.
Many thanks
Prince

[Joro Kolev]

There are no latent variables in the context of Seemingly Unrelated Regressions.

Check out the -sem- command, it can handle latent variables.

[Prince Annor]

Thank you Joro, I will try the sem-command and see how it goes. Thanks, again