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How to analyze the model using Instrumental variable approach [message #4220]

Sun, 19 April 2015 23:44

Robert
Messages: 19
Registered: April 2015
Location: Dar Es Salaam, Tanzania

Member

Hi every one

I want to analyze the effect of fertility on nutritional status of children and children enrollment in school in Tanzania. However, the problem I am facing is on how to run them in them regression since fertility is endogenous in the child and education equation. This means therefore, that fertility will be proxied using instrumental variables. Any idea on how to run these commands

R.Lihawa

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Re: How to analyze the model using Instrumental variable approach [message #4223 is a reply to message #4220]

Mon, 20 April 2015 20:10

Reduced-For(u)m
Messages: 292
Registered: March 2013

Senior Member

Well, in Stata you could use "ivreg2" - http://www.repec.org/bocode/i/ivreg2.html

If you have further questions on that, the Stata user's forum is the place to go. But finding a valid instrument for fertility won't be easy - there is a paper that uses maternal infertility as an instrument: https://www.aeaweb.org/annual_mtg_papers/2008/2008_606.pdf

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