Methods of Correlation and Regression Analysis, Linear and Curvilinear

By Mordecai Ezekiel; Karl A. Fox | Go to book overview

CHAPTER 24
Fitting systems of two or more simultaneous equations

Introduction. In 1943, Haavelmo introduced a drastically different method of statistical analysis for estimating relationships among economic time series.1 Although this method was designed to handle problems in the field of economics, similar problems may well exist in other disciplines such as biology and physiology.

A complete description of the computations involved in handling fairly large sets of simultaneous equations is beyond the scope of this book. Friedman and Foote2 have published a handbook which is recommended to those who are interested in applying this approach to any but the simplest cases. Here we will simply examine the logic and mathematics on which the method is based, as illustrated by a two-equation model.

In earlier chapters we discussed two possible interpretations of regression equations. The relation between protein content of wheat and the percentage of vitreous kernels was presented as purely descriptive or empirical --it did not express a "causal mechanism" by means of which an increase in the percentage of vitreous kernels would inevitably (except for random errors) lead to an increase in the protein content. In the auto-stopping example, however, we found strong logical grounds for expecting the speed of a car to affect the distance to stop, and for the relationship to follow a second-degree parabola. Although changes in automobile design

____________________
1
Trygve Haavelmo, "The statistical implications of a system of simultaneous equations", Econometrica, Vol. 11, pp. 1-12, January, 1943.

-----, "The probability approach in econometrics", Econometrica, Vol. 12, Supplement, 118 pp. July, 1944.

2
Joan Friedman, and Richard J. Foote, "Computational methods for handling systems of simultaneous equations. U. S. Department of Agriculture", Agriculture Handbook No. 94, 109 pp. illus., November, 1955.

-413-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this book

This book has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this book

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited page

Bookmark this page
Methods of Correlation and Regression Analysis, Linear and Curvilinear
Table of contents

Table of contents

Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
/ 550

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Author Advanced search

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.