Hi all, I wanto to run a plot about the levels of a variable parting on an ols regression. The regression in done on the rate of return of the variable. Imagine R_{t}=a+b*R_{t-1} So If P, the "estimated" price would be P_{t}=P_{t-1}*R_{t} Imagine that I obtain lm fitted values and the original R_{t}, R_{t-1} are [1000,1] dimmension... How it is posible to obtain also 1000,1 fitted values? They should be 999,1, no? If I want to use the fitted values to multiply and obtain estimated prices....P_{t}=P_{t-1}*R_{t} how should I proceed? Many thanks in advance. I try it but I was surprised about the fitted values dimmensions¡¡¡ [[alternative HTML version deleted]]
Trying To learn again wrote:> Hi all, > > I wanto to run a plot about the levels of a variable parting on an ols > regression. The regression in done on the rate of return of the variable. > > Imagine R_{t}=a+b*R_{t-1} > > So If P, the "estimated" price would be P_{t}=P_{t-1}*R_{t} > > Imagine that I obtain lm fitted values and the original > R_{t}, R_{t-1} are [1000,1] dimmension...Instead of asking us to imagine what you're doing, it would be much easier to show us a reproducible example of what problem you face, as the posting guide requests. You're much more likely to get better help, and solve your problems faster, this way.