"insufficient number of observations" - LSTAR
Posted: Thu Aug 25, 2011 11:28 am
Hi,
I am trying to estimate a LSTAR model.
The simplest model specification is
Y = C(1) + C(2)*Y(-1) + (C(3) + C(4)*Y(-1))/(1+EXP(-C(5)*(Y(-1)-C(6))))
and it works.
But when I try to change one variable to:
Y = C(1) + C(2)*Y(-1) + (C(3) + C(4)*Y(-1))/(1+EXP(-C(5)*(regime(-1)-C(6))))
I get the error message "insufficient number of observations". Any ideas what might be the problem?
Also, it wouldn't let me fix the value of c(5) to 2.5....
Any ideas?
Thanks!
:ps. I am using Eviews6
I am trying to estimate a LSTAR model.
The simplest model specification is
Y = C(1) + C(2)*Y(-1) + (C(3) + C(4)*Y(-1))/(1+EXP(-C(5)*(Y(-1)-C(6))))
and it works.
But when I try to change one variable to:
Y = C(1) + C(2)*Y(-1) + (C(3) + C(4)*Y(-1))/(1+EXP(-C(5)*(regime(-1)-C(6))))
I get the error message "insufficient number of observations". Any ideas what might be the problem?
Also, it wouldn't let me fix the value of c(5) to 2.5....
Any ideas?
Thanks!
:ps. I am using Eviews6