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st: Question about ivreg -- HELP ME OUT

From   Frank Zhang <>
Subject   st: Question about ivreg -- HELP ME OUT
Date   Sun, 20 Jun 2004 11:06:31 -0700 (PDT)


I have 2 questions about the working of inreg and
2SLS. It may seem basic to you, but I really need
clarification on that. 

Here is the code: 

ivreg lwage (educ = fatheduc )  * 1st command
reg lwage educ (educ fatheduc)  * 2nd command

Question1: why the 1st and 2nd commands give different
answers since they are both regression with

reg educ fatheduc
predict educpred
reg lwage educpred             * 3rd command

Question 2: why the 3rd command gives answers
different than those from either 1st command or 2nd
command since regression with instruments is
essentially 2SLS?

Thank you very much for clarification!

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