How to test this research model? With SEM?


I am currently writing my master thesis and have gathered all the necessary data and complete my model.

1) Institutional dimension (latent) which consists of 4 variables (panel-data: 40 countries over 6 years) ---->
2) Entreprenerial activity (panel data: 40 countries 6 years) ----->
3) Economic growth (panel data: 40 countries 6 years).

Thus I have panel data for the same 40 countries for every variables over the same time-frame. However, the first level uses one latent variable consisting of 4 quantitative variables.

I've already done some research and found that "Structural Equation Modeling" might fit. Can anyone confirm this? Which statistical tools can I use? I have SPSS, SPSS Amos, Stata 10 and Excel ;).

I would appreciate your help very much!

SPSS itself cannot run SEM. AMOS is now affiliated with SPSS, and can be run either as an add-on or stand-alone. if you want to do SEM, AMOS is the best choice of the ones you listed. There are also other programs like LISREL, EQS, CALIS and a few others.