'------------ Nonlinear Three-Stage Least Squares Estimation ------------ 
INPATH C:\Program Files\Betahat4.0
OPEN KLEIN.DT2
USE 2 22

   'Define equations.
C.TSLSNL Consumption B1*Constant+ B2*Profits+B3* Profits(-1)+B4* Total_Wages @ Constant &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend / NOESTIMATE iters=100

I.TSLSNL Investment B1*Constant+b2* Profits+b3* Profits(-1)+B4* Capital_Lagged @ Constant &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend / NOESTIMATE iters=100

PW.TSLSNL Private_Wages  B1*Constant+B2* X +B3*X(-1) +B4*Trend  @ Constant &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend / NOESTIMATE iters=100
   

   'Estimate linear 3SLS.
SYSTEM C I PW / INSTRUMENT=C iters=1000 converge=15