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st: xtivreg vs. xtivreg2
From
Sportökonomie <[email protected]>
To
[email protected]
Subject
st: xtivreg vs. xtivreg2
Date
Wed, 13 Nov 2013 14:05:06 +0100
Dear Statalist,
I am performing a fixed effects instrumental variable panel regression
by using the following commands:
(1) xtivreg depvar varlist_1 (varlist_2 = varlist_iv), fe
(2) xtivreg2 depvar varlist_1 (varlist_2 = varlist_iv), fe
(3) xtivreg2 depvar varlist_1 (varlist_2 = varlist_iv), fe cluster(id)
For both -xtivreg2- commands I receive the response
"equation not identified; must have at least as many instruments not in
the regression as there are instrumented variables"
However, I have specified everything analog to the -xtivreg- command. I
tested myself how to make the xtivreg2 command work, and the only
solution was to add the 2 instrumented variables also as independent
variable, which I am sure is not the right way to do.
What does that mean, and how can I adjust the latter two commands to work?
Thanks,
Marc Rohde
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