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Distributed lag model

Posted: Tue Nov 10, 2015 5:39 pm
by diogoretti
I need to estimate the following equation, to estimate β1:

πt= β0 + β1π(t-1) + ∑(k=2)βk∆π(t-k) + εt

Can someone help me?

Re: Distributed lag model

Posted: Tue Nov 10, 2015 8:17 pm
by startz
In EViews you represent a lagged variable x(t-k) by writing x(-k)

For example, x(-1), x(-2) and so on.

Re: Distributed lag model

Posted: Wed Nov 11, 2015 2:51 pm
by diogoretti
Startz,

I estimated the equation. How do I know the coefficient of CPIARG(-1)?

Dependent Variable: CPIARG
Method: Least Squares
Date: 11/11/15 Time: 19:43
Sample (adjusted): 2003Q4 2014Q4
Included observations: 45 after adjustments
CPIARG = C(1) + CPIARG(-1) + D(CPIARG(-2))

Coefficient Std. Error t-Statistic Prob.

C(1) 0.006779 0.006489 1.044679 0.3019

R-squared 0.193395 Mean dependent var 0.101659
Adjusted R-squared 0.193395 S.D. dependent var 0.048465
S.E. of regression 0.043527 Akaike info criterion -3.408896
Sum squared resid 0.083363 Schwarz criterion -3.368748
Log likelihood 77.70016 Hannan-Quinn criter. -3.393929
Durbin-Watson stat 1.083475

Re: Distributed lag model

Posted: Wed Nov 11, 2015 2:55 pm
by startz
You seem to not have specified a coefficient for CPIARG(-1). Try something like

Code: Select all

ls CPIARG c CPIARG(-1) D(CPIARG(-2))

Re: Distributed lag model

Posted: Wed Nov 11, 2015 3:03 pm
by diogoretti
thank you!