How can we write the system GMM model (mathematical equation)?

Muhammad Farooq @Muhammad-Farooq-197

21 March 2024 1 5K Report

Chuck A Arize

The system GMM model can be expressed mathematically as:

\[Y_t = \alpha + \beta X_t + \epsilon_t\]

where:

- \(Y_t\) is the dependent variable.

- \(X_t\) is the matrix of explanatory variables.

- \(\alpha\) is the intercept term.

- \(\beta\) is the coefficient vector.

- \(\epsilon_t\) is the error term.

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