correct functional form

For technical questions regarding estimation of single equations, systems, VARs, Factor analysis and State Space Models in EViews. General econometric questions and advice should go in the Econometric Discussions forum.

Moderators: EViews Gareth, EViews Moderator

Post Reply
majalyka
Posts: 4
Joined: Sun Aug 23, 2009 10:50 pm

correct functional form

Postby majalyka » Sun Aug 23, 2009 11:18 pm

What are the requirements in knowing the correct functional form for our model?
Top
hum2004
Posts: 12
Joined: Tue Apr 07, 2009 6:46 am

Re: correct functional form

Postby hum2004 » Sun Sep 20, 2009 10:20 am

hi, i do know several kinds of test for this issure. Jarque-Bera test for normalty. This is sometimes regarded as test of mis-specification (Modern Econometrics, R.L.Thomas)
Another is the RESET (regression error specification test - see the same text book)
The Hausman test is also applied in this context.
another test -which is not very popular but which i use is a test of Zarembka.

the book menioned above has a couple of paged dedicated to that issue. It is easy to read.
Top
Post Reply

Return to “Estimation”

Who is online

Users browsing this forum: No registered users and 2 guests