Question: l.-l Consider the following simultaneous equations model. Assume that x is exogenous. y 1 - B x l e y 2 : o y r

l.-l Consider the following simultaneous equations model. Assume that x is exogenous.

y 1 - B x l e y 2 : o y r + u

(a) How would you estimate the parameter p? Is it identified?

(b) How would you estimate the parameter a? Is it identified?

11.8.2 ColrpursR. Exsncrsss

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