Table 4: Structural Estimates
- baseline normalization of the orthogonality conditions -
1960:1 - 1979:2 1982:4 2003:2 | |
c1 |
0.96** 1.35** (0.03) (0.04) |
c2 |
1.15** 0.34** (0.16) (0.08) |
c3 |
0.03 0.13 (0.02) (0.11) |
c4 |
-0.17** -0.01 (0.03) (0.01) |
ρ |
0.70** 0.73** (0.04) (0.02) |
i* |
5.4 6.0 |
π* |
4.2 2.5 |
α |
0.05 0.20 (0.04) (0.18) |
γ |
-0.29** -0.06 (0.02) (0.10) |
t-type statistics W(2) p-value J(19) p-value |
.000 .000 .000 .530 ___________.950______________________________.895_______________ |
Specification:
Et-1I - μ(it - i*)+(1 - ρ)f(π, - π)+ λyt + α(πt - π)2 + γλУ2 '' + ρi-1 - i*) zt-11 = 0
∣L κφ V κ 2 2κ J J
Notes: This table reports the nonlinear GMM estimates of the structural parameters α and
γ. The estimates of the reduced-form coefficients are recovered from the estimates of the
structural parameters while the standard errors are computed using the delta method.
Inflation, output gap and the instrument set zt-1 correspond to the baseline measures
described in the notes to Table 1. The t-type test refers to the null hypothesis (μZκφ) =0.
W(n) refers to the Wald statistics of the test for n parameter restrictions, which is
distributed as a χ2(n) under the joint null hypothesis α=γ=0. J(m) refers to the statistics of
Hansen’s test for m overidentifying restrictions which is distributed as a χ2(m) under the
null hypothesis of valid overidentifying restrictions. The superscript ** and * denote the
rejection of the null hypothesis that the true coefficient is zero at the 1 percent and 5
percent significance levels, respectively.
25
More intriguing information
1. Rent-Seeking in Noxious Weed Regulations: Evidence from US States2. The name is absent
3. The Composition of Government Spending and the Real Exchange Rate
4. Innovation Policy and the Economy, Volume 11
5. Regulation of the Electricity Industry in Bolivia: Its Impact on Access to the Poor, Prices and Quality
6. Globalization and the benefits of trade
7. The name is absent
8. Forecasting Financial Crises and Contagion in Asia using Dynamic Factor Analysis
9. Party Groups and Policy Positions in the European Parliament
10. The name is absent