'------------ Two Stage Least Squares ------------ 
INPATH C:\Program Files\Betahat4.0
OPEN KLEIN.DT2
USE 1 22

   'Linear
TSLS Consumption Constant Profits Profits(-1) Total_Wages @ Constant  &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend   

   'Nonlinear
TSLSNL Consumption B1*Constant+ B2*Profits+B3* Profits(-1)+B4* Total_Wages @ Constant &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend / iters=1000

  'Linear with AR-1
TSLS Consumption Constant Profits Profits(-1) Total_Wages AR(1)  @ Constant  &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend   / iters=1000

TSLSNL Consumption B1*Constant+ B2*Profits+B3* Profits(-1)+B4* Total_Wages AR(1) @ Constant &
   Profits(-1) Capital_lagged X(-1) Government_Wages G Taxes Trend / iters=1000