SVAR MODEL - Structural Factorization - how to do?

[ottoandersson]

thesis 15-12-2012.wf1

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Hi,
Hi,

I am not super familiar with eviews, however i am working on a SVAR model of the monetary policy transmission mechanism in sweden. I would like to do the restrictions i attached in the EXCEL file and put it in to eveiws. However I dont know how to implement/structure the restrictions I have in the matrix form (see attached excel file) in to text code in the structural factorization/impulse function in eveiws.

If anyone could help me I would be grateful.

I attached the excel file and the eviews file. In the eveiws file i have been working on the var_2013 file.

Thanks

Otto

[ottoandersson]

I have no identified some restrictions on my model. See below.

@e1 = C(1)*@u1 + c(2)*@e6
@e2 = C(3)*@e1 + C(4)*@u2 + C(5)*@e5
@e3 = C(6)*@e2 + C(7)*@u3 + C(8)*@e4 + C(9)*@e5 + C(10)*@e7
@e4 = C(11)*@e2 + C(12)*@e3 + C(13)*@u4 + C(14)*@e5 + C(15)*@e7
@e5 = C(16)*@u5
@e6 = C(17)*@e1 + C(18)*@e2 + C(19)*@e3 + C(20)*@e4 + C(21)*@e5 + C(22)*@u6
@e7 = c(23)*@e2 + C(24)*@e3 + C(25)*@e4 + C(26)*@e5 + C(27)*@e6 + C(28)*@u7


However when I put it in to Eviews i receive the fault message: "Hessian of Structural VAR likelihood is singular at starting Values. Reset Starting values or respecify restrictions to ensure that the model is (locally) identified".

Anyone got some answers?

Thanks!

[trangan2014]

Hi mate,

I also met the same problem. Did you have the answer for this? Please share it with me. Thank you very much.

Kind regards,