good morning, everyone,
thank you for your answers which will be of great help to me and excuse me if the answer to my question is obvious.
I have gone through a lot of papers and I have not found the answer to my question.
I would like to know if the 2SRI (or control function) procedure can correct any type of endogeneity (reverse causality, variable omissions, wrong variable measure).
Unless I am mistaken, many papers that use it try to correct endogeneity caused by the omission of variables.
Can this method also be used to solve inverse causality problems?
thank you for you answer
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