I am running an -ivprobit- model with one endogenous regressor and one instrument. I am trying out two different instruments, let's call them A and B. If I instrument using A, I get the p-value for Wald's test of exogeniety as 0.04 (indicating that using -ivprobit- is appropriate due to the presence of endogeniety), but if I use instrument B, I get a p-value of 0.96 suggesting that there is no endogeniety.
This doesn't sound correct to me. I have the same endogenous variable--according to me, simply changing the instrument shouldn't change the Wald exogeniety test results.
Could someone explain how to interpret my results and if/where am I going wrong?
Related Posts with Changing the instrument changes the Wald test of exogeniety results
Combination of If and or ClausesHey there, I am original a python programmer and must use Stata to access the Data of a research Ins…
Need help on predicting a value of dependent variableHi, I've recently started learning statistics. On stata, how can I get the predicted value of a depe…
Maximizing Sharpe Ratio - Portfolio optimizationHi, I would like to maximize the Sharpe ratio (=Historical Return (portfolio)/Standard deviation(po…
Appending files in folderDear all, I am struggling for appending files in a folder. Now I have multiple datasets such as ho…
returnsyh command donwloads historical data for any ticker with historical data in Yahoo - ErrorHi, I am getting the following error with returnsyh command donwloads historical data for any ticke…
Subscribe to:
Post Comments (Atom)
0 Response to Changing the instrument changes the Wald test of exogeniety results
Post a Comment