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Insufficient number of observations- pls help

Posted: Tue Aug 18, 2015 10:09 am
by samsia
Hi! I am an amateur that has to deal with Eviews 7.1.

I am running a LS regression with only 15 years of data but 9 regressors. Hence I am getting this 'insufficient number of observations''. But how can I have more obs when my research is on the last 15 years? Also my data has 4 'n/a's due to missing data. How may I solve this?

Re: Insufficient number of observations- pls help

Posted: Tue Aug 18, 2015 10:28 am
by startz
If you have 15 observations with 9 regressors, OLS should run. You say you are missing 4 observations. That leaves 11, so OLS should still run. You are probably missing more than you think.

But the real answer is that for most purposes trying to fit nine regressors with 11 (or 15) observations is kind of silly. You need a lot more data to find out anything about 9 variables.