Dear Statalists
Is possible to combine biprobit with sample selection
in Stata?
I want to estimate a model:
(1) y1=P(Y1=1)=aX1+bY2+e
(2) y2=P(Y2=1)=cX2+v
Eq(1): Y1 is the binary choice outcome (exit or
remain) for a welfare recipint sample. Y2 is binary
dummy explanatory variable (married or single) in (1)
but could be endogenous to Y1. I want to address the
endogeneity issue of Y2 in eq (1). So I use the
biprobit model.
But the complex issue is when I estimate equation (2)
only among welfare recipents, it has a sample
selection issue should be addressed by Hekcman
selection model.
So I wonder how to combine biprobit with sample
selection in Stata.
Thanks so much for any help!
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