To be more specific:
I am trying to estimate a model with two predictors and an interaction feature using an
IV. Which would be the most appropriate approach, and how could I implement (the
following) model in Grelt?
The model is Y=b0+b1*X1+b2*X2+b3*X1*X2+e
Y is an ordinal six grade Likert variable,
X1 and X2 are binary variables. X1 is endogenous and X2 is exogenous.
Z1 is the Instrumental Variable for X1 and is an ordinal six grade Likert type variable.