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Econometrics is a field of statistics dealing with applications to economics.

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Deriving likelihood function for IV-probit

Remember that for a bivariate normal variable $$\begin{pmatrix}X \\ Y\end{pmatrix}\sim\mathcal{N}\left(\begin{bmatrix}\mu_X\\\mu_Y\end{bmatrix}, \begin{bmatrix}\sigma_X^2 & \rho\sigma_X\sigma_Y\\\rho\ …
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