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Structural VAR Estimation

Posted: Fri Sep 25, 2015 2:38 pm
by Mutawakil
I am trying to a estimate a structural VAR in Eview. After constructing the A and B matrices with identifying restrictions, I then proceeded to estimate the structural VAR, but I obtained an error message saying"Hessian of structural VAR likelihood is singular at starting values. Reset starting values or specify restrictions to ensure that the model is (locally) identified".
I am stuck with this error message and I wanted to ask if anyone can assist me to overcome this problem.
Thank you

Re: Structural VAR Estimation

Posted: Fri Sep 25, 2015 2:43 pm
by EViews Gareth
Did you try different starting values?

Re: Structural VAR Estimation

Posted: Sat Sep 26, 2015 8:05 am
by Mutawakil
How do I set the starting values in the first place?

Re: Structural VAR Estimation

Posted: Sat Sep 26, 2015 11:41 am
by EViews Gareth
Use the Optimization Control tab of the Structural VAR dialog.