Specifying Your Econometrics Regression Model

By Roberto Pedace
In econometrics, the regression model is a common starting point of an analysis. As you define your regression model, you need to consider several elements:

Typical Problems in Estimation Econometric Models and Their Solutions

By Roberto Pedace

If the classical linear regression model (CLRM) doesn’t work for your data because one of its assumptions doesn’t hold, then you have to address the problem before you can finalize your analysis. Fortunately, one of the primary contributions of econometrics is the development of techniques to address such problems or other complications with the data that make standard model estimation difficult or unreliable.