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Re: st: IV-oprobit using the cmp command


From   Stas Kolenikov <[email protected]>
To   [email protected]
Subject   Re: st: IV-oprobit using the cmp command
Date   Thu, 5 Apr 2012 14:57:59 -0500

On Thu, Apr 5, 2012 at 9:35 AM, Peter Gambrill <[email protected]> wrote:
> I am trying to using Instrumental variables using a probit
> specification. The command I have found is the "cmp" command, I just
> wondered if anyone had experience of using this and could help me with
> this estimation.
>
> My endogenous variable is a measure of gender identity. This is a
> discrete variable that has a scale of 7 to 33.
>
> Gender Identity = constant + instruments + error
>
> The second stage dependant variable is a measure of subjective well
> being on a scale of 1 to 36
>
> Subjective well-being = constant + controls + gender identity + error
>
> Can anyone give some advice on how I might achieve this estimation
> using stata?

Oh come on. Don't overcomplicate things. If both ranges are filled up
reasonably well, treat them as continuous and run the whole thing as
-ivregress-. Otherwise, you'd be running into problems with a HUGE
number of ancillary parameters (thresholds) that would be difficult to
identify, especially on the extreme ends, where you may have less than
a handful of observations.

-- 
Stas Kolenikov, also found at http://stas.kolenikov.name
Small print: I use this email account for mailing lists only.
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