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Endogeneity : Reduced Form : For each of the following system of equations:
1. Reduced Form: For each of the following system of equations:
· Determine which equations are over, under or exactly identified
· Provide the reduced form for each equation (after substituting one equation into the other equation)
· For identified parameters, provide the function based on the OLS estimated parameters.
· Assume that Zi and Wi are exogenous.