How do i operationalise CDM model (for innovation and technology, data is cross sectional) in stata? Any book i can use?

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Fernando Barrios Aguirre

Hello greetings. You must carry out an OLS model in three stages.

Edgard Alberto Méndez Morales

Hello, I hope this answer helps you after so much time. You can use a cmp (Conditional mixed process estimator with multilevel random effects and coefficients) in stata. If you want to apply a cross-section model. In the CMP help you can see how to calculate the mills ratio to include into your second equation.