Dear Statalist,

I am trying to estimate a two stage least squares where both stages contain multiple fixed effects and interactions between age and district factors. I used reghdfe in combination with the xi command for the first stage regression and attempted to use the stages(first) addition but I keep getting an error saying "invalid options: stages(first)". Does anyone know why this is happening or have any ideas as to a different way to proceed?

Here is my code and the response:

xi: reghdfe yrschl i.age74|intensity, stages(first) absorb(age district) v

> ce(cluster district)

i.age74 _Iage74_2-23 (naturally coded; _Iage74_12 omitted)

i.age74|inten~y _IageXinte_# (coded as above)

invalid options: stages(first)

r(9);



Any input would be greatly valued. Thank you