xtdhazard and cfbinout: Using Internal Instruments for Addressing Unobserved Heterogeneity in the Discrete-Time Hazard Model

Tauchmann H, Yurkevich E (2026)


Publication Language: English

Publication Type: Journal article, Original article

Publication year: 2026

Journal

Book Volume: 26

Pages Range: 325-366

Article Number: st0805

Journal Issue: 3

DOI: 10.1177/1536867X261477503

Open Access Link: https://dx.doi.org/10.1177/1536867X261477503

Abstract

This article introduces the new community-contributed Stata commands xtdhazard and cfbinout. The former implements the own-differences instrumental variables estimator proposed by Farbmacher and Tauchmann (2023, Econometric Reviews 42(8): 635–654) for dealing with time-invariant unobserved heterogeneity in the discrete-time hazard model. cfbinout is called by xtdhazard if a nonlinear rather than a linear discrete-time hazard model is specified. cfbinout can also be used as a stand-alone command that generalizes ivprobit, twostep by allowing discrete endogenous regressors and different link functions than the normal link, specifically logit and cloglog. In terms of the underlying econometric theory, cfbinout is guided by Wooldridge (2015, Journal of Human Resources 50(2): 420–445). An Empirical example illustrates the use of xtdhazard in applied empirical work.

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How to cite

APA:

Tauchmann, H., & Yurkevich, E. (2026). xtdhazard and cfbinout: Using Internal Instruments for Addressing Unobserved Heterogeneity in the Discrete-Time Hazard Model. Stata Journal, 26(3), 325-366. https://doi.org/10.1177/1536867X261477503

MLA:

Tauchmann, Harald, and Elena Yurkevich. "xtdhazard and cfbinout: Using Internal Instruments for Addressing Unobserved Heterogeneity in the Discrete-Time Hazard Model." Stata Journal 26.3 (2026): 325-366.

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