Hi Stata users,
I am running a regression of job satisfaction on highest education level, with gender, marital status and wage as controlled variables.
There is potential problem of endogeneity with the independent variable "highest education level", and I would like to use "mother's interest of education" as the instrumental variable.
My endogenous variable is categorical and the instrument is also categorical ("gender" and "marital status" are binary variables).
Can I run the normal ivregress or should I use some other command?
Thank you very much in advance.
I am running a regression of job satisfaction on highest education level, with gender, marital status and wage as controlled variables.
There is potential problem of endogeneity with the independent variable "highest education level", and I would like to use "mother's interest of education" as the instrumental variable.
My endogenous variable is categorical and the instrument is also categorical ("gender" and "marital status" are binary variables).
Can I run the normal ivregress or should I use some other command?
Thank you very much in advance.
