Re: [R] Error messages/systemfit package

Hi Axel, Both error messages indicate that a regression equation is singular. The error message of systemfit() indicates that the singularity appears in the first stage of the two-stage procedure. Hence, it seems that your instruments are linearly dependent. Please check this and remove some of th

[R] Error messages/systemfit package

Hello !   I’m trying to estimate a system of equation (demand and supply) using the systemfit package.  My program is:   library(systemfit) demand <- tsyud ~ tsyud1 + tsucp + tspo + tssn supply <- tscn ~ tsyn + tsqn + tsksn + tsucp system <- list(demand=eqdemand, learning = eqsupply) labels