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st: selmlog: question

From   Rasmus Joergensen <>
Subject   st: selmlog: question
Date   Tue, 11 Apr 2006 21:26:24 +0200

Dear Statalist,

I'm trying to estimate the effect of self-employment experience. My analysis considers the following selection rules:

1. Wage-employed in period t and period t+5

2. Self-employment spell between t and t+5.

This selection model thus consider 4 possible outcomes as illustrated below:

                          WE,t and WE,t+5
                          YES                       NO
               YES       1                           2
SE spell
               NO         3                           4

One way to estimate this selection model is to use --selmlog--. 

However, selmlog can only estimate the wage equation (the equation of interest) for one outcome of the selection process. But I'm interested in running a wage regression for outcome 1 and 3 (see above). In other words, I'm trying to estimate a model that accounts for both sample selection and endogenous treatment (the SE spell).

Does anyone have any advice how to correct --selmlog-- to estimate the equation of interest for two outcomes of the selection process? Any suggestions are very welcome.


Rasmus Jørgensen
Research Assistant
Centre for Economic and Business Research

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