how i code this equation for ols

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.

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Muhammad Riaz
Posts: 5
Joined: Sun Jun 22, 2014 1:27 am

how i code this equation for ols

Postby Muhammad Riaz » Mon Jul 07, 2014 6:57 am

se=(1-(c(3)/(c(3)+c(4))))*(c(10)*tr+c(20)*a1+c(30)*a2)-(c(4)/(c(3)+c(4)))*cet+(c(3)/(c(3)+c(4)))*set
what was wrong in this equation. when i try to estimate eviews produce error message"division by zero"

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

Re: how i code this equation for ols

Postby EViews Gareth » Mon Jul 07, 2014 8:12 am

Change the starting values in the C vector before estimating.

Just do something like:

Code: Select all

c=0.1
in the command window.

Muhammad Riaz
Posts: 5
Joined: Sun Jun 22, 2014 1:27 am

Re: how i code this equation for ols

Postby Muhammad Riaz » Mon Jul 07, 2014 4:15 pm

thank you so much. your tip is working but know eviews produce message "near singular matrix". how i can resolve this issue?

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

Re: how i code this equation for ols

Postby EViews Gareth » Mon Jul 07, 2014 8:40 pm

Try different starting values


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