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st: xtivreg

From   W Zang <>
Subject   st: xtivreg
Date   Sat, 01 May 2010 12:35:41 +0100

Dear all

I am trying to use xtivreg to estimate two-stage least squares simultaneous equations. I have two endogenous variables Y1 and Y2. Y1 and Y2 are affected by different exogenous variables. Y1 is affected by X1, X2, X3 and Y2 is affected by X1, X4, X5.

Y1 = a0 + a1*Y2 + a2*X1 + a3*X2 + a4*X3
Y2 = b0 + b1*Y1 + b2*X1 + b3*X4 + b4*X5

I have read a related FAQ at Does it mean there is no way to estimate the two simultaneous equations in Stata?

Thank you very much.


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