Dear all,

I am running a two-equation multilevel model with random intercepts at the nation and region levels. Furthermore, I use STATA's gsem command. Regions are nested within nations. The dependent variables are continuous, and they share the same right-hand-side variables.

My code is as follows and M1[nation] and M2[nation>region] refer to random intercepts at the nation and region levels.

Code:
 gsem (dv1 <- var1 var2 var3 var4 M1[nation] M2[nation>region])
(dv2 <- var1 var2 var3 var4 M1[nation] M2[nation>region])

My question is that whether the use of identical random effects variables M1[nation] and M2[nation>region] is correct in both equations? Or should I use M3[nation] and M4[nation>region] in the second equation? When I use STATA's mixed command, we simply add the same variables in the form of | nation: | region: Therefore, I suspect gsem should follow a similar logic but could not be sure. Will you please help me?

I hope my question is clear, and highly appreciate any suggestions.

Many thanks in advance

Best wishes,
Secil