Dear all,
I am a new user and have the following question:
I am using an IV estimate to instrument productivity of firms. The instrument I built is an average of productivity over sector and firm size. Can you tell me which graphing option in STATA would be appropriate to test whether variation of productivity over sector and size is really the highest in my sample? Alternatively, is there some test that tells me beforehand which variables are best to build my instrument?
Thank you!
Susan A.
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