Regression model

Three-Stage Least Squares (3SLS)

Three-Stage Least Squares is a system estimator for simultaneous-equation models that accounts for the correlation of error terms across equations. Introduced by Zellner and Theil in 1962, it combines two-stage least squares with the seemingly-unrelated-regression idea to estimate all equations jointly and more efficiently.

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Sources

  1. Zellner, A. & Theil, H. (1962). Three-Stage Least Squares: Simultaneous Estimation of Simultaneous Equations. Econometrica, 30(1), 54–78. DOI: 10.2307/1911287

Related methods

Referenced by

ScholarGateThree-Stage Least Squares (Three-Stage Least Squares (3SLS)). Retrieved 2026-06-04 from https://scholargate.app/en/econometrics/three-stage-least-squares