* Koyck Model for Aggregate Consumption in Sri Lanka * * Keywords: * regression, koyck, aggregate, consumption, sri lanka * * Description: * We illustrate how to estimate a Koyck Model for the Aggregate * Consumption Expenditure in Sri Lanka * * Author(s): * Skif Pankov * * Source: * Damodar N. Gujarati and Dawn C. Porter, Basic Econometrics - 5th Edition * McGraw-Hill International Edition, Chapter 17, Example 17.10 (page 643) * sample 1 27 * Reading the datafile and naming variables read(data_17.10.shd) c x * Running an OLS regression of c on itself lagged and x, specifying * to display resudual statistics and saving estimated coefficients in a * variable beta ols c c(1.1) x / rstat coef = beta * Saving the short-run impact of c as delta gen1 delta = 1-beta:1 * Displaying delta print delta * Generating the long-run impact of x on c, saving it a lrmpc gen1 lrmpc = (beta:2)/delta * Displaying lrmpc print lrmpc stop