EViews.com

Since i've used std dev instead of variance in the mean equation Eviews showed me all the test that i needed, but still I have the stationarity problem and I really dont know how to solve it. The coefficient restrictions c(9) + c(10) = 1 showes a p-value of ,8990 even after I've included std dev in ...

Thx @trubador.

I will keep the lagged dependent variable of inflation because I am intending to test both influences bettwen inflation and its variance, in both directions.

I've changed the specifiaction to std dev and it works perfect.

Thx a lot :)

Thx Gareth for the fast reply.

Attached you will find my workfile. The Garch model is named grach-m.

Thx,

Hi All, I am runnig a AR - GARCH-M model of inflation and inflation uncertainty proxied by the errors of conditional mean ecuation. The code is: INFLATIE = C(1)*GARCH + C(2) + C(3)*INFLATIE(-1) + C(4)*DUMMY*INFLATIE(-1) + C(5)*INFLATIE(-2) + C(6)*INFLATIE(-4) + C(7)*INFLATIE(-6) GARCH = C(8) + C(9)*...

Thx a lot.

Hi, First of all I would like to thank you all for this forum....really helpfull I am using Eviews 6 and i am trying to make an autoregressive equation for inflation. I am guessing the my model can suffer from structural brakes in intercept and 3rd lag. For this i decided to include a dummy variable...