Problems estimating long run VAR - IV method

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velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Problems estimating long run VAR - IV method

Postby velasquez » Fri Feb 24, 2017 4:28 pm

I am trying to estimate a VAR model with long run restrictions for a three variable system using the attached program - IV method. I am finding problem estimating the TSLS second equation. The error message reflected is

Order condition violated : insufficient number of instruments.

I am not sure what I am missing. Can anyone help please.

Thanks
Attachments
armenia.wf1
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velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Re: Problems estimating long run VAR - IV method-Urgent

Postby velasquez » Fri Feb 24, 2017 5:02 pm

Whys does eviews crash everytime I run the program. What do I do about it?

startz
Non-normality and collinearity are NOT problems!
Posts: 3797
Joined: Wed Sep 17, 2008 2:25 pm

Re: Problems estimating long run VAR - IV method

Postby startz » Fri Feb 24, 2017 5:19 pm

Is your copy of EViews uptodate?

EViews Gareth
Fe ddaethom, fe welon, fe amcangyfrifon
Posts: 13604
Joined: Tue Sep 16, 2008 5:38 pm

Re: Problems estimating long run VAR - IV method

Postby EViews Gareth » Fri Feb 24, 2017 6:08 pm

In answer to your first question - the error is somewhat self explanatory. You don't have enough instruments.

velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Re: Problems estimating long run VAR - IV method

Postby velasquez » Fri Feb 24, 2017 6:45 pm

What do you mean by eviews up to date. I am using eviews 6.

velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Re: Problems estimating long run VAR - IV method

Postby velasquez » Fri Feb 24, 2017 6:46 pm

In answer to your first question - the error is somewhat self explanatory. You don't have enough instruments.
Interesting Answer! You opened my eyes by quoting from my own post. Wow!
Last edited by velasquez on Fri Feb 24, 2017 6:50 pm, edited 1 time in total.

velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Re: Problems estimating long run VAR - IV method

Postby velasquez » Fri Feb 24, 2017 6:47 pm

Is your copy of EViews uptodate?
What do you mean by eviews up to date. I am using eviews 6.

EViews Gareth
Fe ddaethom, fe welon, fe amcangyfrifon
Posts: 13604
Joined: Tue Sep 16, 2008 5:38 pm

Re: Problems estimating long run VAR - IV method

Postby EViews Gareth » Fri Feb 24, 2017 7:45 pm

In answer to your first question - the error is somewhat self explanatory. You don't have enough instruments.
Interesting Answer! You opened my eyes by quoting from my own post. Wow!

Sorry, I'll be more explicit. You need to add more instruments.

EViews Gareth
Fe ddaethom, fe welon, fe amcangyfrifon
Posts: 13604
Joined: Tue Sep 16, 2008 5:38 pm

Re: Problems estimating long run VAR - IV method

Postby EViews Gareth » Fri Feb 24, 2017 7:49 pm

Is your copy of EViews uptodate?
What do you mean by eviews up to date. I am using eviews 6.
EViews 6 is probably too old for anyone to help you. Its 10 years out of date, I think.

velasquez
Posts: 9
Joined: Fri Feb 17, 2017 12:19 am

Re: Problems estimating long run VAR - IV method

Postby velasquez » Sat Feb 25, 2017 12:34 am

Is your copy of EViews uptodate?
What do you mean by eviews up to date. I am using eviews 6.
EViews 6 is probably too old for anyone to help you. Its 10 years out of date, I think.
Its not about Eviews 6, its about econometrics which you............

startz
Non-normality and collinearity are NOT problems!
Posts: 3797
Joined: Wed Sep 17, 2008 2:25 pm

Re: Problems estimating long run VAR - IV method

Postby startz » Sat Feb 25, 2017 9:47 am

You asked two questions. Gareth answered the econometrics question. The question about a crash is a software question. That was also answered


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