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Forecasting with Single Independent Variable

Posted: Fri May 25, 2012 8:29 am
by gkavcak
Hi All,

I'd like to know whether it is possible to use forecasting of Eviews if the reg. model has the lag(1) of the dependent variable.

Looks like..

X = c + trend + X(1) + e

For instance, I am using euro as my dependent variable and I want to use lag(1) of euro (no unit root) as independent variable with trend and coefficient.

I have tried on Eviews but unfortunately couldn't succeeded. If you can briefly inform me, it will be appreciated. Thanks in advance.

Regards,