The first step in estimating simultaneous equations models (SEMs) with panel data is to find instrumental variables for the endogenous variables in the transformed equation.

Question

​The first step in estimating simultaneous equations models (SEMs) with panel data is to find instrumental variables for the endogenous variables in the transformed equation.

Quizplus · Accepted Answer

The first step in estimating simultaneous equations models (SEMs) with panel data typically involves specifying the model and identifying the endogenous and exogenous variables, not immediately finding instrumental variables for the endogenous variables in the transformed equation.

​The First Step in Estimating Simultaneous Equations Models (SEMs) with Panel

The First Step in Estimating Simultaneous Equations Models (SEMs) with Panel