Hi,
I am trying to find out how to test and correct for serial correlation on a regression that involves dummy variables.
I am aware that in a standard regression model you would test for serial correlation using estat bgodfrey and then correct using the prais command on the same regression (if it is an AR(1) process). Can this be applied in the same way to a dummy variable regression?
Any help much appreciated.
I am trying to find out how to test and correct for serial correlation on a regression that involves dummy variables.
I am aware that in a standard regression model you would test for serial correlation using estat bgodfrey and then correct using the prais command on the same regression (if it is an AR(1) process). Can this be applied in the same way to a dummy variable regression?
Any help much appreciated.
