[R] 2SLS with Fixed Effects and Control Variables

Kelis Wong ke||@@whk @end|ng |rom gm@||@com
Sun Jan 28 18:18:40 CET 2024


Dear John Fox, Christian Kleiber, and Achim Zeileis,

I am attempting to run various independent variable parameters to assess
their suitability. Unfortunately, I hit a snag and couldn't get the tests
to run properly. When I used ivreg, I got an error message saying: "Error
in eval(predvars, data, env) : object 'WageInequality' not found."

Can you please help?

Model: numeric(WageInequality) = numeric(EffectiveMinimum) +
numeric(EffectiveMinimum2)
(whereas EffectiveMinimum2 is the quadratic form of EffectiveMinimum)

Instruments: numeric(`Log Real Minimum Wage`) + numeric(`Log Real Minimum
Wage2`) + numeric(IVinteration)
(whereas Real Minimum Wage2 is the quadratic form of Real Minimum Wage)

Time and Region Fixed Effects: factor(Region) + numeric(Year) + Region:Year
(whereas Region:Year is and interaction term of Region and Year)

Control Variables: factor(Region), numeric(`Woman Percentage`),
numeric(`Noneducated Percentage`)

Parameter 1:
ivreg(WageInequality ~ EffectiveMinimum + EffectiveMinimum2 + Region | `Log
Real Minimum Wage` + `Log Real Minimum Wage2` + IVinteration + Region,
dataset))

Parameter 2:
ivreg(WageInequality ~ EffectiveMinimum + EffectiveMinimum2 + Region + Year
+ Region:Year | `Log Real Minimum Wage` + `Log Real Minimum Wage2` +
IVinteration + Region + Year + Region:Year, dataset))

Parameter 3:
ivreg(WageInequality ~ EffectiveMinimum + EffectiveMinimum2 + Region + Year
+ Region:Year + `Woman Percentage` + `Noneducated Percentage` | `Log Real
Minimum Wage` + `Log Real Minimum Wage2` + IVinteration + Region + Year +
Region:Year + `Woman Percentage` + `Noneducated Percentage`, dataset))

--
Peace,

Kelis Wong

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