Dear Stata users,
I am using the cmp command for the first time. I am trying to estimate a two equation model like Y = a1X1 + ...... and X1 = b1Z1 + .... [with x1 needing an ordered probit and Y a simple ols]
When I run the estimation, I have the following error :
regressor matrix for _cmp_y2 equation appears ill-conditioned. (Condition number = 1798.0022.
> )
This might prevent convergence. If it does, and if you have not done so already, you may need to remov
> e nearly
collinear regressors to achieve convergence. Or you may need to add a nrtolerance(#) or nonrtolerance
> option to the command line.
See cmp tips.
I've read in other posts that this is caused by the size of xx'. Though, I was not able to find out the exact consequences of this kind of warning.
In my situation, the estimation displays 5 iterations. Does it mean that the process has converged so I can neglect the warning message ? Or may it mean that the process has not converge thus potentially leading to wrong estimates ? Since I am not familiar with the command, I would prefer to stick to de default option with respect to nonrtolerance.
Iteration 0 exhibits a "(non concave") message. I do not know if it has to do with it.
Many thanks in advance
Eric
I am using the cmp command for the first time. I am trying to estimate a two equation model like Y = a1X1 + ...... and X1 = b1Z1 + .... [with x1 needing an ordered probit and Y a simple ols]
When I run the estimation, I have the following error :
regressor matrix for _cmp_y2 equation appears ill-conditioned. (Condition number = 1798.0022.
> )
This might prevent convergence. If it does, and if you have not done so already, you may need to remov
> e nearly
collinear regressors to achieve convergence. Or you may need to add a nrtolerance(#) or nonrtolerance
> option to the command line.
See cmp tips.
I've read in other posts that this is caused by the size of xx'. Though, I was not able to find out the exact consequences of this kind of warning.
In my situation, the estimation displays 5 iterations. Does it mean that the process has converged so I can neglect the warning message ? Or may it mean that the process has not converge thus potentially leading to wrong estimates ? Since I am not familiar with the command, I would prefer to stick to de default option with respect to nonrtolerance.
Iteration 0 exhibits a "(non concave") message. I do not know if it has to do with it.
Many thanks in advance
Eric
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