I am running a first difference regression. I have seen the nocons option included on several posts about first difference regressions on this forum. My R-Squared skyrockets from 0.12 to 0.94 when I use the nocons option and all the controls suddenly become statistically significant at the 1% level. However, I have also read that R-Squared becomes misleading with the nocons option. Can somebody explain whether I should be including a constant and what the reasons for the sudden increase in precision and goodness of fit are?
Related Posts with No constant in first difference regression
distribution explanatory variable for different birth cohortsHi there, I'm struggling to understand part of a assignment that I need to do. I have to examine w…
tabstat of multiple dummy variablesHello, I have a large dataset of N = 59,000,000. I have a set of diagnoses dummy variables a00_a09…
Confidence-interval plots / any plot : resize possible?Dear Statalisters My question, basically, is whether there is a 'correct' way to resize Stata graph…
Endogeneity & dropping of constraintsHi, I am doing Durbin–Wu–Hausman test to test my independent variables for endogeniety. My data is…
How to perform NLS estimation with a complex functionDear Stata users, I need to use NLS to estimate the following equation describing the so-called Ba…
Subscribe to:
Post Comments (Atom)
0 Response to No constant in first difference regression
Post a Comment