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4 - Simultaneous-Equations Models

Published online by Cambridge University Press:  19 May 2022

Cheng Hsiao
Affiliation:
University of Southern California
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Summary

Issues of joint dependence between the dependent variables and explanatory variables are discussed. Error components 2SLS or 3SLS estimator for an equation or a system is introduced. Identification conditions with prior restrictions on the parameters or the disturbance terms are illustrated with a triangular system.

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Publisher: Cambridge University Press
Print publication year: 2022

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