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st: RE: ivreg (2sls) to evaluate credit effect on farm production


From   george owuor <[email protected]>
To   statalist <[email protected]>
Subject   st: RE: ivreg (2sls) to evaluate credit effect on farm production
Date   Fri, 8 Dec 2006 06:55:33 -0800 (PST)

Hii to all.

I have a problem. I am measuring credit amounts in a production function, and given endogeneity of credit in that model i use ivreg, but i am not sure if this is correct because ferterliser and  hired labour are also in the same equation, yet credit affects production through such inputs. Can ivreg sort out such a huge double endogeneity problem. the equation is generally expressed as
 lnY= f(fertiliser, hired labour, credit amount, other socio economc factors). could some one assist to confirm if ivreg can solve such a problem.

Thanks


 
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