VECM coefficients
Posted: Mon Aug 26, 2013 11:10 am
Hi all; I am estimating an VECM but I have a problem with the impulse responses that it generates. The estimation gives me some negative coefficients for different lags therefore the impulse responses oscilates too much in the short run. I need to get a smoother response, is it possible to restrict he coefficients to be positive or cero in my estimation?
Thanks
Thanks