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st: A simultanous equation model question


From   "Michael Johnson" <michaeljohnson919@hotmail.com>
To   statalist@hsphsun2.harvard.edu
Subject   st: A simultanous equation model question
Date   Wed, 03 Nov 2004 15:04:44 -0600

Dear lister:

I'm estimating a  simultanous equation model for household decision making,
and the model goes as follows:

household decision Y1 is dependent on household characteristics X1, and the
PRESENCE of any of the household member decison Y2:

Y1=a*X1+b*[Y2]+e1

where Y1 and Y2 are binary, and [Y2]=max(Y2) for all memebers in the
houshold

Household member decison Y2 is dependent on individual member chracteristics
X2, and household decison Y1:

Y2=c*X2+d*Y1+e2

Have anybody seen such a model in application, maybe in Stata, and give some
reference?


Thanks a lot,

Mike

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