Hi all, I am using 2sls technique on yearly time series data. I am currently running pre-tests like ADF, i would like to know, must i include lags?

31 July 2018 1 8K Report

If i must include lags, how can i do so? i'm using stata.

Dear Ahmadi,

i suppose if i specify 4 lags, do you think that would be ok? Mainly because in stata, there is no option for pre-estimating the lag length for time series data, only for VAR and VEC under multivariate time series.

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