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Impulse response function

Posted: Mon May 01, 2017 6:29 am
by tr206
Hello,
I am trying to do an impulse response function in eviews. Unfortunately, I get the error "near singular matrix".

What does that mean and what can I do to get IRF analysis results?

Thanks for your help in advance

Re: Impulse response function

Posted: Tue May 02, 2017 7:40 am
by dakila
That means you have the multicollinearity problem. Check the residuals correlation matrix.