Hi all,
In a 2SLS model where the first stage is OLS and the second stage is estimated using ordered probit
The first stage:
reg y2 z1, r
predict y2hat
The second stage:
oprobit y1 y2hat, r
It seems that the standard errors in the second is wrong, how can I adjust my standards errors in the second stage.
Thank you
In a 2SLS model where the first stage is OLS and the second stage is estimated using ordered probit
The first stage:
reg y2 z1, r
predict y2hat
The second stage:
oprobit y1 y2hat, r
It seems that the standard errors in the second is wrong, how can I adjust my standards errors in the second stage.
Thank you
