search for: kathrinchen

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2013 Jul 11
1
Testing for weak exogeneity in a SUR ECM
Dear all, I have set up a Labour Demand Error Correction Model for some German federal states. As I expect the labour markets to be correlated I used a Seemingly Unrelated Regression using systemfit in R. My Model is: d(emp)_it = c + alpha*ln(emp)_i,t-1 + beta_1*ln(gdp)_i,t-1 + + beta_2*ln(wage)_i,t-1 + + beta_1*ln(i)_i,t-1 + gamma_1*d(gdp)_it + gamma_2*d(wage)_it with emp_it being the