How to input equations in 2sls with 4 equations?

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elliask
Posts: 5
Joined: Tue Nov 20, 2018 11:15 pm

How to input equations in 2sls with 4 equations?

Postby elliask » Thu Mar 28, 2019 2:02 am

Hello,
I need to do 2sls analysis with these equations :
gdp = ce + ge + i + x +kgdp
ce = ce(-1) + gdp
i = r + gdp
x = ex + ce + kgdp
Anyone can explain to me how to input the equations and instrument variables? I know that I need to put the 1st equation in the equation box and the rest in the instrument but I can't seem to enter more than 1 line of equation in the instrument box. Any help and advice is appreciated. Thank you.

EViews Gareth
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Joined: Tue Sep 16, 2008 5:38 pm

Re: How to input equations in 2sls with 4 equations?

Postby EViews Gareth » Thu Mar 28, 2019 7:50 am

You need to use a System object, not an Equation object.
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startz
Non-normality and collinearity are NOT problems!
Posts: 3466
Joined: Wed Sep 17, 2008 2:25 pm

Re: How to input equations in 2sls with 4 equations?

Postby startz » Fri Mar 29, 2019 8:02 am

Or, since TSLS is a single equation estimator, just run four estimates.

elliask
Posts: 5
Joined: Tue Nov 20, 2018 11:15 pm

Re: How to input equations in 2sls with 4 equations?

Postby elliask » Sat Mar 30, 2019 6:46 am

EViews Gareth wrote:You need to use a System object, not an Equation object.

It gives me syntax error or that the first equation is incomplete everytime I use system

elliask
Posts: 5
Joined: Tue Nov 20, 2018 11:15 pm

Re: How to input equations in 2sls with 4 equations?

Postby elliask » Sat Mar 30, 2019 6:47 am

startz wrote:Or, since TSLS is a single equation estimator, just run four estimates.

4 estimates? Can you explain it in more detail?

startz
Non-normality and collinearity are NOT problems!
Posts: 3466
Joined: Wed Sep 17, 2008 2:25 pm

Re: How to input equations in 2sls with 4 equations?

Postby startz » Sat Mar 30, 2019 7:02 am

elliask wrote:
startz wrote:Or, since TSLS is a single equation estimator, just run four estimates.

4 estimates? Can you explain it in more detail?

tsls y1 c x1 @ c z1
tsls y2 c x2 @ z1
tsls y3 x x3 @ z1
tsls y4 c x4 @z1


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