Skip to content
Prev 28144 / 29559 Next

How to efficiently generate data of neighboring points

Thank you. Yes, the OLS is biased and my plan is to use a 2SLS approach. I
have a variable I intend to use as an IV for y.
I have seen a few papers use this approach. Will this approach not correct
for the endogeneity?

Actually, I am not sure if this is a right forum or perhaps if it's
appropriate or acceptable to you to take this one-on-one with you for help:
My model actually looks like this: y= f(y, x)  + e.
Aside the endogeneity of y (which I intend to instrument by another
variable z), there is simultaneity between y and x.
I intend to use the lag of x as instrument for x.  Given that I am seeking
to test spatial dependency, do you see some fatal flaws with my approach?

I have also seen other empirical approaches like static and dynamic spatial
panel data modelling. I will be reviewing them also to see suitability for
my objective.
But, any further directions or suggestions are highly appreciated.

Thanks,
-------------------
Lom
On Thu, Jun 4, 2020 at 3:48 AM Roger Bivand <Roger.Bivand at nhh.no> wrote:

            

  
  

Thread (19 messages)