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Wald Breakpoint Test

Posted: Fri Mar 14, 2014 11:54 am
by wand
Hi all,

I need some expert advice relating to the Eviews 7 programs and graphs file, and the Excel data file, as attached:

1. I ran a rolling Ward break point test program on some PCE series [personal consumption expenditures] and plotted the graph. Can someone advise me what the Y-axis units mean, and how to interpret the graph - for it doesn't seem to indicate a 'break point'?

2. I also ran a similar program on some CPI series and plotted the graph. It showed a clear break point around 1982. My question: how can I obtain a similar 'break point' plot with the PCE series, just like the CPI plot - say by modifying the PCE program and how?

To add:
- the PCE and CPI are two common measures of inflation, and I would expect both to show a break point [around 1982].
- the Eview programs were written by some programmer in my project team who is no more around so I have no one to consult. I am new to Eviews so would appreciate some guidance here. Appreciate.

Thanks.

Regards,
Wand