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  • ivregress 2sls, p-value for variable is exactly 1.00000

    Hello,

    I'm running a regresion using the command ivregress 2sls with the lagged values of Chinese FDI as instrument for Chinese FDI to solve the endogeneity problem. I am controlling for total FDI, since i want to isolate the effect of Chinese FDI. FDI, however, has according to stata a coefficient of 0, a p-value of 1.000 and a confidence interval of -198.2139 and 198.2139. It is only the one variable FDI that acts this way (I am using 10 control variables in total). Has anyone an idea what the problem could be and why Stata is acting this way?

    Thanks in advance.

    Petter Sundqvist
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