Author: Yun Qiu; Xi Chen; Wei Shi
Title: Impacts of social and economic factors on the transmission of coronavirus disease (COVID-19) in China Document date: 2020_3_17
ID: 8ozauxlk_18
Snippet: There are several reasons thatȳ τ ct ,ȳ τ rt andz τ t may be correlated with the error term ct . The unobserved determinants of new infections such as local residents' and government's preparedness are likely correlated over time, which causes correlations between the error term and the lagged dependent variables. Therefore, the coefficients are estimated by two-stage least squares in order to obtain consistent estimates. For the y ct equati.....
Document: There are several reasons thatȳ τ ct ,ȳ τ rt andz τ t may be correlated with the error term ct . The unobserved determinants of new infections such as local residents' and government's preparedness are likely correlated over time, which causes correlations between the error term and the lagged dependent variables. Therefore, the coefficients are estimated by two-stage least squares in order to obtain consistent estimates. For the y ct equation (2), the instrumental variables include average temperature, maximum wind speed and precipitation for city c for the past three and four weeks.
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