Using max(0,eqn) in model
Posted: Thu Jun 21, 2018 8:36 am
I have a number of equations I've estimated using OLS that I grouped into a model.
What I'm looking to do is to bound one of the equations below by zero in the model when doing simulations.
e.g.
equation EQN
EQN.ls X = c(1) + C(2)*Y
model MOD MAX(0,EQN)
That way, when I solve the model it overwrites the results in EQN with 0 if the output of EQN goes negative.
Any ideas how I would do that?
What I'm looking to do is to bound one of the equations below by zero in the model when doing simulations.
e.g.
equation EQN
EQN.ls X = c(1) + C(2)*Y
model MOD MAX(0,EQN)
That way, when I solve the model it overwrites the results in EQN with 0 if the output of EQN goes negative.
Any ideas how I would do that?