Help about perron97 test with rats econometric programme?

Question

I am a Ph.D. student using Rats econometric pacakage


Whenever i am trying to run perron97 io1 model it gives me result with messege that error occured at location 23460 of perron97 & REG7 i.e. variance is zero.

When i am running perron97 model io2 it gives me result with error message that the error occured at location 13130 of perron97 & REG7 i. e. variance is zero, X13 i.e. redundant restrictions using o degrees, not 1.

Please help i willbe very greatful to you.

Swati

Answer 1

I think you are having a rounding error, or you are getting a negative in the mix somehow?