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Techniques for analyzing the relationship between one (or more) "dependent" variables and "independent" variables.
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vote
0
answers
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What are the steps before computing time series regression?
Based on one paper I want to perform regression using OLS. I'm using Eviews software.
My question is - what steps I have to take before starting with regression? … My plan was:
1) Test stationarity of TS using ADF model - non-stationarity resolve taking 1st or second differences or using ln
2) Test causality with Granger causality test
3) Perform the regression …
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Endogeneity testing using correlation test
I am currently testing my linear model using OLS method. The last thing I have to test is endogeneity issue. Is it enough if I test each explanatory variable for correletion with error term? Than mean …