Near-VAR

[raphael]

Dear Tom, is there a difference between the method from Enders in its Programming Mannual, which is to estimate each equation using LINREG(define = equation x) then use SUR and finally GROUP the equations, and the one in the User's Guide, p. 343 ?

Thanks

[TomDoan]

Yes. For a near-VAR, the estimates from a SUR are different for the equations that have "extra" variables than they are for the same equation done one LINREG at a time. They usually aren't that much different, but they *are* different. The equations with the subset of the RHS variables end up being the same both ways.