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number of instruments greater than number of observations

Posted: Thu Aug 11, 2011 8:46 am
by dddmb33
hello
how can i fix the problem of receiving the message "number of instruments greater than number of observations"
thanks

Re: number of instruments greater than number of observation

Posted: Thu Aug 11, 2011 8:56 am
by startz
Without meaning to sound frivolous, get more observations or use fewer instruments.

Re: number of instruments greater than number of observation

Posted: Thu Aug 11, 2011 9:06 am
by dddmb33
but how can i choose the correct number of instruments

Re: number of instruments greater than number of observation

Posted: Thu Aug 11, 2011 9:43 am
by startz
You need as many, or more, instruments as you have right hand side variables. Past that, you'll have to explain what you're doing and see if someone has more specific advice.