S4E03 Two-Stage Least Squares Strikes Back
Quantitude
Bringing Indirectly Back Guinea Pigs
Sewell Wright path tracing guinea pigs. His dad was a heavy hitter in early developments of what became two stage least squares. This is actually an indirect effect. It's a path model. We have Z predicting X and X predicting Y in this initial model. Now we're not going to actually estimate it that way. That actually undermines the whole thing. We're getting X hat.
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