... PCk) of /? has the generic form P(k)= {r;[k(P,-~ ~,) +(l-k,Q ,, ] YZ}-' x{r;[k(P,-P ,, ) +(l-k)Q ,, ] y,} = [kA**(~Z)+(1-k)A22(~)1-‘[ka ,, ( ~,) +(1-k)a ,, ( ~)l. (3.17) The LIML estimator, &tML, of ... {A(I)-h[A(I)-A(Pz)]}p,=O, (3.19) where X is the minimum of the variance ratio in (3.18). Thus, &rML is given by the generic form P LIML= [XA ,, ( P,)+(l-A)A ,, ( I)]-‘[Xa ,, ( P,)+(l-A)a ,, ( l)l, (3.20) that is, ... using an expansion of 8, (in the case of the k-class estimator) in terms of increasing powers of o, where IJ* is a scalar multiple of the covariance matrix of the errors in the model and the...