log of the intercept in least squares
Moderators: EViews Gareth, EViews Moderator
log of the intercept in least squares
I was estimating a power regression y=a*x^(-b), where a and b are my coefficients. The natural log of the function ln(y)=ln(a)-b*ln(x) fitted the data quite well. But I am not sure if e-views estimated this relationship with nls or ols. More generally, what does eviews actually do when you take the log of the intercept?
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EViews Gareth
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Re: log of the intercept in least squares
Depends on how you specified the equation.
Re: log of the intercept in least squares
The equation was specified as: log(y)=log(C(1))-C(2)*log(x). I didn't realize before but it has "Convergence achieved after 6 iterations", so it must be nls. Which makes sense seeing as though it's nonlinear in the coefficients.
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EViews Gareth
- Fe ddaethom, fe welon, fe amcangyfrifon
- Posts: 13604
- Joined: Tue Sep 16, 2008 5:38 pm
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