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I am doing a FAVAR analysis. I have a group of X variables and Y. But I am not sure how to fill the form. Anyone can give me an example?
Thank you very much!

There is example file (favar_ex.prg) and instruction pdf file in the FAVAR add-in folder.

dakila wrote:There is example file (favar_ex.prg) and instruction pdf file in the FAVAR add-in folder.

Hi,Dakila, your suggestion is helpful. I am trying to follow the instruction to apply the FAVAR. However, I did the exactly same as the favar_ex, the software replied me with "factor01 is not the same length as the sample". Could you tell me what is wrong with it?

Could you post the file?

Hi!! I am also in the process of generating a FAVAR-however I would like to impose my own shock(for example a 30% decrease in my Y variable) but I do not know how to manipulate the add in any help will be extremely appreciated!!

Thank you guys!

HI
i was trying to run FAVAR using the example file favar_ex.prg. however when i run the program i get an error that there is syntax error in vector tcode =@fill(1,5,5,1,1,5,5,5,1,1,5,5,5,1,5,5,4,5,1,1). i am not able to figure out why??? please help. Also while using FAVAR as an add-in when a dialogue box appears, i am not able to understand as to how the the vector of transformation code has to be added. if i write 1,5,5,5,4 etc then how would the package know as to what 1 and 5 and 4 means???. i am confused please help

regards
deepika

What version of eviews do you use?

hi

i am using eviews 7

regards
deepika

Maybe you need to upgrade the version 9. It is compatible with Eviews 9.
If you want to use the dialog, first create a vector of the transformation code. Then open the dialog and insert that vector into the box.

Hi Dakila

Thanks for your prompt reply. can you give me an example of creating a vector of transformation code. suppose i have 3 series. X, Y,Z. so if my transformation code is 1=no transformation, 4=first difference, and 5=logarithm. then do i transform the series in the workfile and create a group of transformed series???. if not then what is the other way out??.
also i have one more query that transformation vector would be of y variable and the group of variables we are interested in for obtaining impulse responses??

Thanks
Deepika

Sorry, the add-ins only allows log(4) and first diff of log(5). You can not define the transformation code.
For example, use the following command to transform your series.
series dlgdp=dlog(gdp). for first diff of log
series lgdp=log(gdp). for taking log

dakila wrote:Maybe you need to upgrade the version 9. It is compatible with Eviews 9.
If you want to use the dialog, first create a vector of the transformation code. Then open the dialog and insert that vector into the box.

Dear dakila,

I tried to modify the code for creating vector tcode using this command:

vector(20) tcode
tcode.fill 1, 5, 5, 1, 1, 5, 5, 5, 1, 1, 5, 5, 5, 1, 1, 5, 4, 1, 1, 1

However, when I rerun the program, the Eviews stopped working and asked the program to be closed.
I can't figure out what was wrong. Does it relate to the Eviews version that I use?
I also use EViews 7 to run the program and install the add-ins.
And I don't think I will be able to upgrade to EViews 9 at the moment.

Please, any comment and advice would be much appreciated.
Thank you.

Sorry, It is compatible with the version 9.

hi
im working favar model with Eviews and I thank you for your guidance.
I have a few questions
1- what do you mean from I(0),I(1) factors?You're talking about stability?
2-when I run program[ 'Stock and Watson (2002) - I(0) factors where T>N] "for statement unterminated in "for !J=1 to 20"
please guide me

I could not understand the questions. I never mentioned I(0) and I(1) factors. The add-in replicates Bernanke Boivin Eliasz (2005).