Cordula,
Unfortunately, I don't, but I'm still learning. Hopefully other list
users will have a solution for you.
Best of luck with your project.
Julie
-----Original Message-----
From: Cordula Stolberg [mailto:[email protected]]
Sent: Tuesday, July 13, 2004 9:40 AM
To: [email protected]
Subject: Re: st: RE: Instrumental variables
Julie,
Thanks for that. It's good to hear that I gave you the opportunity to
contribute to the list...:)
You wouldn't by any chance know another solution to my instrumental
variables problem? The thing is that there is no obvious instrument in
my
case.
Thanks again,
Cordula
--On 13 July 2004 09:27 -0500 "Trivitt, Julie"
<[email protected]>
wrote:
> I'm so excited, I finally get to contribute to the statalist after
being
> an observer for a few months.
>
> Cordula,
> I don't think your plan will work. The instrument you suggested
(c1x1)
> will be perfectly collinear with b1X1 you have in the original
equation.
> You will need to find an instrument for X2 that is not in the original
> equation.
>
> Julie Trivitt
> Economics PhD Student
> Walton College of Business
> University of Arkansas
>
>
>
> -----Original Message-----
> From: Cordula Stolberg [mailto:[email protected]]
> Sent: Tuesday, July 13, 2004 9:15 AM
> To: [email protected]
> Subject: st: Instrumental variables
>
> Dear Statalisters,
>
> Following on from my earlier problems with endogeneity and panel data,
I
>
> now have a question with regard to the choice of the instrumental
> variable.
> I have the regression (panel data, fixed effects)
>
> Y b1X1 b2X2 b3dummies
>
> and I suspect that X2 might be endogenous. Is it possible to obtain an
> instrument by first estimating
>
> X2 c1X1
>
> (where X1 is the same variable as the X1 in the first regression) and
> then
> use the predicted values of X2 as the instrument for the first
> regression?
>
> Thanks for any suggestions,
> Cordula
>
>
>
> *
> * For searches and help try:
> * http://www.stata.com/support/faqs/res/findit.html
> * http://www.stata.com/support/statalist/faq
> * http://www.ats.ucla.edu/stat/stata/
>
>
> *
> * For searches and help try:
> * http://www.stata.com/support/faqs/res/findit.html
> * http://www.stata.com/support/statalist/faq
> * http://www.ats.ucla.edu/stat/stata/
*
* For searches and help try:
* http://www.stata.com/support/faqs/res/findit.html
* http://www.stata.com/support/statalist/faq
* http://www.ats.ucla.edu/stat/stata/
*
* For searches and help try:
* http://www.stata.com/support/faqs/res/findit.html
* http://www.stata.com/support/statalist/faq
* http://www.ats.ucla.edu/stat/stata/
