Grocer Function

NAME

iv1 - instrumental variables

CALLING SEQUENCE

[rtsls]=iv1(y,y1,x1,xall)

PARAMETERS

Input

Output

DESCRIPTION

Produces instrumental variables estimation when all variables are in vector or matrix form.

EXAMPLE

riv=iv1(grocer_y,grocer_endo,grocer_exo,grocer_ivar));

This example, taken from iv, provides the instrumental variables estimation for the regression of endogenous variable grocer_y on the matrix of variables supposed to be correlated with the residuals, grocer_endo, and the matrix of variables supposed to be uncorrelated with the residuals, grocer_exo: grocer_endo being endogenous, it is instrumented by grocer_ivar. This is a low level function: for empirical uses, the user can perform the same, and much more, with iv.

AUTHOR

Eric Dubois 2002