<>
Credit for that suggestion should go to Jeff Wooldridge, who outlines
the strategy in his MIT Press textbook Econometric Analysis of Cross
Section and Panel Data. That book also contains an excellent
discussion of instrumental variables techniques.
Kit Baum | Boston College Economics & DIW Berlin | http://ideas.repec.org/e/pba1.html
An Introduction to Stata Programming
| http://www.stata-press.com/books/isp.html
An Introduction to Modern Econometrics Using Stata | http://www.stata-press.com/books/imeus.html
On Apr 16, 2009, at 02:33 , Jennifer wrote:
Kit, thanks for reminding me that I can use nonlinear
transformations of
my instruments as additional instruments to make the model over-
identified
and thus be able to run the battery of instrument validity tests. This
option was in my mind at some point but it seemed to have escaped, so
thanks for bringing it back!
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