About the Causal Models Task

Causal models deal with a special type of cross-sectional data that has endogenous variables. An endogenous variable is a factor in a causal model or causal system whose value is determined by the states of other variables in the system. (The value of an exogenous variable is independent from the states of other variables in the system.)
With the Causal Models task, you can use these two techniques:
  • two-stage least squares
  • Heckman’s two-step selection method