VAR Results Interpretation

[jzamanbb@gmail.com]

Hello,

I am new in econometrics and so in Eviews. I am trying to estimate unrestricted VAR, but when to conduct Granger Test. How do I understand my results are acceptable or not (Stability Test). What standard error shows in VDC?

My model is simple, changes in log cpi, changes in log money and changes in log GDP. There is no cointegration among them but each variable is I(1).

Jzamanbb@gmail.com

[Basyvava]

You could run a Granger test before estimating your VAR, to see if any of your variables actually statically causes any other. The Granger test is also used once you have estimated your VAR to determinate the exogeneity order of your variables, if you're interested in analyzing your model's dynamics.