Estimating a model

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sayera
Posts: 1
Joined: Thu Feb 23, 2012 2:42 am

Estimating a model

Postby sayera » Mon Mar 05, 2012 10:09 pm

Hi Trubador,
As you mentioned I do not need to estimate OLS and NLS separately. Eviews will do that for me. If that is the case if I just enter in the equation box as followes:
gry c inf(-2) lry0(-3) iny gpp(-3) gry(-1) d_01

where d_01 is a dummy variable created as
(Inf>1)*(Inf-1)
Inf(-2)
Population growth (gpp)
Investment-GDP Ratio (iny)
Initial Income (lryo)
Dependent Variable: GRY
Method: Least Squares
Date: 07/24/11 Time: 12:58
Sample(adjusted): 1976 2010
Included observations: 35 after adjusting endpoints
Variable Coefficient Std. Error t-Statistic Prob.
C -15.70426 38.25504 -0.410515 0.6844
INF 0.017145 0.080313 0.213477 0.8324
INY 0.278234 0.127792 2.177246 0.0377
GPP 2.715485 4.734106 0.573600 0.5707
D_01 0.154673 0.029848 5.182112 0.0000
LNY0 1.214210 3.880150 0.312929 0.7566
R-squared 0.662102 Mean dependent var 4.903349
Adjusted R-squared 0.603844 S.D. dependent var 2.004425
S.E. of regression 1.261604 Akaike info criterion 3.457450
Sum squared resid 46.15771 Schwarz criterion 3.724081
Log likelihood -54.50538 F-statistic 11.36494
Durbin-Watson stat 2.695765 Prob(F-statistic) 0.000004

get the result as above. Am I doing the correct method?

Thanks again

Sayera

trubador
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Posts: 1520
Joined: Thu Nov 20, 2008 12:04 pm

Re: Estimating a model

Postby trubador » Tue Mar 06, 2012 2:20 am

It seems the results belong to the following estimated model: gry c inf iny gpp d_01 lny0
I am not sure how I can judge the feasibility of your model without even knowing the purpose of your study. All I can say is that the estimation results are not very promising and I do not think you have enough degrees of freedom to generalize from this output.


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