copulaDiscrete

vector containing the dependent variable.

matrix containing the regressors, with the endogenous variables occupying the last columns.

matrix containing the discrete endogeneous regressors.

the intercept of the model. It should be specified whether the model should be estimated with or without intercept. 
If no intercept is desired, intercept should be given the value &quot;FALSE&quot;, otherwise the value &quot;TRUE&quot;.

intercept

optional matrix or data frame containing the dataset used.

data

Fits linear models with discrete, endogeneous regressors using the approach described in Park and Gupta (2012). Due to the variablility 
in pStar, a simulation was needed in order to obtain the coefficient estimates. Then, in order to get the Z-scores and p-values the sum of the Z method was used
as described in  Zaykin, D V.(2011). &quot;Optimally weighted Z-test is a powerful method for combining probabilities in meta-analysis&quot;. Journal of Evolutionary Biology, 24:1836-1841.

internal

Fits linear models with endogenous regressor using latent
instrumental variable approaches. The methods included in the package
are Lewbel's (1997) <doi:10.2307/2171884> higher moments approach as well as Lewbel's (2012) <doi:10.1080/07350015.2012.643126>
heteroskedasticity approach, Park and Gupta's (2012) <doi:10.1287/mksc.1120.0718>joint estimation method
that uses Gaussian copula and Kim and Frees's (2007) <doi:10.1007/s11336-007-9008-1> multilevel generalized
method of moment approach that deals with endogeneity in a multilevel setting.
These are statistical techniques to address the endogeneity problem where no
external instrumental variables are needed.
This version:
- solves an error occurring when using the multilevelIV() function with two levels, random intercept.
- returns the AIC and BIC for copulaCorrection() (method 1) and latentIV() methods.
- residuals and fitted values can be saved by users for latentIV() and copulaCorrection() methods.
- improves the summary methods for copulaCorrection() and multilevelIV() functions.

copulaDiscrete: Fitting Linear Models with Endogeneous Discrete Regressors using Internal Instrumental Variables

Description

Usage

Arguments

Value

References