Re: [R] Systemfit with structural equations and cross equation parameter interaction

2012-04-07 Thread Arne Henningsen
Dear Waseem On 7 April 2012 09:20, waseem ahmad wrote: > I want to estimate simultaneous equation model with panel data. > The model looks as follows > > Y1=a0+a1*X1+a2*X2 > Y2=b0+b1*X2+b2*X1 > X1=Z1-(Y1/a1) > X2=Z2-(Y2/b1) > I > In this model Y1, Y2, X1 and X2 are endogenous variables; > Z1, Z2

[R] Systemfit with structural equations and cross equation parameter interaction

2012-04-07 Thread waseem ahmad
Hi there, I want to estimate simultaneous equation model with panel data. The model looks as follows Y1=a0+a1*X1+a2*X2 Y2=b0+b1*X2+b2*X1 X1=Z1-(Y1/a1) X2=Z2-(Y2/b1) I In this model Y1, Y2, X1 and X2 are endogenous variables; Z1, Z2 are exogenous variables and a0, a1, a2, b0, b1 and b2 are param