On 05/09/2012 11:15 PM, Allin Cottrell wrote:
> On Wed, 9 May 2012, Anutechia Asongu wrote:
> 
>> Could anyone gist me on where I could find examples of 'threshold 
>> regressions' in Gretl, Greene or Ramanathan practice files?
> 
> There are no such examples in the practice files. However, there are 
> examples of use of the mle command in the Gretl User's Guide and I 
> presume that use of mle would be the preferred way of estimating a 
> threshold model. You just need the loglikelihood function for the 
> model you want to estimate.
> 


Perhaps it's even simpler than that, depending on what's meant with
threshold regression here: If the threshold is known, you can just
create a dummy variable defined as (x>threshold)  and interact that
dummy with x.

-sven

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