In this article, we describe the switch_probit command, which implements the maximum likelihood method to fit the model of the binary choice with binary endogenous regressors.
AakvikA., HeckmanJ. J., and VytlacilE. J.2000. Treatment effects for discrete outcomes when responses to treatment vary among observationally identical persons: An application to Norwegian vocational rehabilitation programs. NBER Technical Working Paper No. 262. http://www.nber.org/papers/t0262.
2.
CarrascoR.2001. Binary choice with binary endogenous regressors in panel data: Estimating the effect of fertility on female labor participation. Journal of Business and Economic Statistics19: 385–394.
3.
LokshinM., and GlinskayaE.2009. The effect of male migration on employment patterns of women in Nepal. World Bank Economic Review23: 481–507.
4.
LokshinM., and SajaiaZ.2004. Maximum likelihood estimation of endogenous switching regression models. Stata Journal4: 282–289.
5.
WildeJ.2000. Identification of multiple equation probit models with endogenous dummy regressors. Economics Letters69: 309–312.
