I work on labour force participation ( participation =1, not participation=0). It is kind of experimental design. My sample size is 149.
look at logistic regression
Best wishes David Booth
There is a bivariate logit and probit if you have two 1,0 dependent variables.
2SLS requires continuous variables.
Or if you have participation (no, yes) and then wages if yes then a heckman sample selection would do as you don't observe wages for non-workers
You can try IVProbit. In STATA, the command is ivprob.
Or you can do it manually (First stage --> Predicted value --> Second stage).
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