Wednesday, March 22, 2006

st: simultaneous equation with qualitative variables

how can i use stata to estimate simultaneous equations with qualitative variables as follows: y1=a1+b1y2+c1x1+e1 y2=a2+b2y1+c2x2+e2 y1*=1 if y1>0 y1*=0 if y1<=0 y2*=1 if y2>0 y2*=0 if y2<=0

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