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st: GMM with inequality and equality constraints


From   "Marder, Andrew" <[email protected]>
To   "[email protected]" <[email protected]>
Subject   st: GMM with inequality and equality constraints
Date   Thu, 15 Mar 2012 10:40:51 -0400

Dear statalisters, 

The generalized method of moments estimation in Stata is great!  It was wonderful how easy it is to estimate a nonlinear GMM model.  I am trying to replicate part of a paper that estimates a GMM model subject to equality and inequality constraints that look like:

E[ alpha w_i + beta x_i ] = 0
E[ gamma y_i + delta z_i ] >= 0

How hard would it be to modify Stata's gmm function to accommodate constraints like these?

Thanks, Andrew 

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