The RATS Software Forum

Thank you for your help! few questions: Assume we shock X and we look at the impulse responses of Y 1) The results with logs are not good at all but with d.log are very good statistically and intuitively. How to overcome this problem? just look at the accumulate impulse responses? those seems odd si...

This is more if a theoretical question: Let say I run panel VAR or VAR model. Say I have X and Y variables. I shock X with a positive shock. To get the elasticity I use the following definition: Elasticity of Y to X = the reaction of Y to a shock to X/ the reaction of X to a shock to X So I take the...