I ran the ARDL approach on E-Views 9, and it turns out that the independent variable has a small coefficient, but it appears as zero in the long-term equation as shown in the table, despite having a very small value in the ordinary least squares method. How can I show clearly this low value?
Put the description and why that's important in the text. Best wishes David Booth
thank you, Professor David Eugene Booth .
I'm examining at the relationship between unemployment and changes in output, and it's weak. As a result, the coefficient of changes in output is near to zero, and it shows in the ordinary least squares method as -2.32E-07, but it is equivalent to -0.000000 in the ARDL approach's long-run equation.
In order to prove the weakness of the relationship between unemployment and output, I need to show the value of the coefficient of change in output in the long-run equation for ARDL.
Thank you very much, Professor David Eugene Booth .
Look at a scatterplots which may help but it seems that you don't have much of a relationship here. Best wishes David Booth
Using E-Views 9, I found a way to show the value of the coefficient in the short and long terms in the ARDL approach by pressing the "Representations" button, where we will get the cointegration equation that contains the coefficient's value of the independent variable in both the long and short terms.
- Badges
- Science topic
- Similar topics
- Mathematics
- Statistics
- Regression