The RATS Software Forum

As I work through the CATS manual, I decided to run the PPP example on page 375 of the RATS User Guide to compare the results. I ran the following:
*** STEP 1 ***
cal(m) 1973:1
open data exdata.rat
data(format=rats) 1973:1 1989:10 pc6it pzunew exritl
*** STEP 2 ***
*
* Transform and normalize the data series
*
set italcpi = 100*log(pc6it/pc6it(1973:1))
set uscpi = 100*log(pzunew/pzunew(1973:1))
set exrat = -100*log(exritl/exritl(1973:1))
*
set pusa = uscpi
set s = exrat
set pita = italcpi

*** STEP 3 ***
source c:\cats2\cats.src
@cats(lags=12,dettrend=none) 1973:01 1989:10
# pusa s pita

After this, I selected rank of Pi of 1 and then have tried to impose the restrictions consistent with pusa - s - pita (i.e., a beta of [1 -1 -1]). I have tried with both the beta = H*phi and the R'beta and the program always crashes. What am I doing incorrectly?

If RATS is actually crashing, you need to email us at

support@estima.com

Include your full name and your RATS (or CATS) serial numbers. Also let us know specifically which version of RATS you are using -- you can do Help-About RATS from within the program to check.

Thanks,
Tom Maycock
Estima

Update for anyone else following this:

It turns out that RATS wasn't crashing at all. It was simply taking a relatively long time to do the computations, due to the large number of lags.

Regards,
Tom Maycock

Hi, is there any specific condition for the imposed restrictions on beta to be identifying?