Maximum number of iteration exceed error

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Ruwan
Posts: 6
Joined: Wed Oct 30, 2019 7:44 pm

Maximum number of iteration exceed error

Postby Ruwan » Mon Nov 04, 2019 11:11 pm

I tried to SVAR identification using five variable (Government spending,Tax,GDP,CPI and Real interest rate) where 1990-2017 time series data. While I run VAR its prompted Maximum number of iteration exceed error. Then I increase maximum iterations and run again. In this time, it prompted Optimization may be unreliable error. can anyone help me to sort this thing out? I have attached work file and data set here.

Error codes:
1. Maximum number of iterations exceeded in "FREEZE (TABLE1) SGVAR1.SVAR(RTYPE=PATSR,NAMEA=PATA,NAMEB=PATB, F0=U)"
2. Optimization may be unreliable (first or second order conditions not met) in "FREEZE(TABLE1) SGVAR1.SVAR (RTYPE=PATSR,NAMEA=PATA,NAMEB=PATB, F0=U)".
Attachments
simulation.prg
(2.84 KiB) Downloaded 521 times
data_an1.wf1
(20.55 KiB) Downloaded 465 times

EViews Matt
EViews Developer
Posts: 585
Joined: Thu Apr 25, 2013 7:48 pm

Re: Maximum number of iteration exceed error

Postby EViews Matt » Tue Nov 05, 2019 1:45 pm

Hello,

It's always good to try different types of initial values to see if one more effectively leads to convergence. The default normal distribution appears to work with your data (remove the "F0=U" option from the svar command).

Ruwan
Posts: 6
Joined: Wed Oct 30, 2019 7:44 pm

Re: Maximum number of iteration exceed error

Postby Ruwan » Sat Nov 09, 2019 5:14 pm

Dear Matt.

Thank you for your reply. Could you please elaborate answer // It's always good to try different types of initial values to see if one more effectively leads to convergence// ?
I tried with removing F0=u but problem still same.

Ruwan

EViews Matt
EViews Developer
Posts: 585
Joined: Thu Apr 25, 2013 7:48 pm

Re: Maximum number of iteration exceed error

Postby EViews Matt » Mon Nov 11, 2019 11:41 am

Hello,

Are you using EViews 10? If so, a different initial value choice seems to work better. Try an initial constant of one (use the "f0=1" option in the svar command).

Ruwan
Posts: 6
Joined: Wed Oct 30, 2019 7:44 pm

Re: Maximum number of iteration exceed error

Postby Ruwan » Wed Nov 13, 2019 4:41 pm

Yes, I used eviews 10. It works when change f0=1.

Thank you


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