Estimate restricted equation

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Jonny4
Posts: 1
Joined: Tue Jun 02, 2009 1:55 am

Estimate restricted equation

Postby Jonny4 » Tue Jun 02, 2009 2:12 am

Could you please explain me how to perform an estimation of a restricted equation?

It should be an OLS estimation with 7 factors (X=c(1)+c(2)*a+c(3)*b+c(4)*c+c(5)d+c(6)*e+c(7)f) and the restriction that all factors sum up to 1 and that each factor is not negative.

How do I store this equation in eviews?

Many thanks

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

Re: Estimate restricted equation

Postby trubador » Tue Jun 02, 2009 2:56 am

Putting limits on estimated coefficient values

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