Do all variables enter as contemporaneous values (lag=0), or can some variables (soft indicators) enter as leading indicators? Is a correlogram analysis performed to identify the number of lags that maximizes the correlation of the endogenous variables?
Do all variables enter as contemporaneous values (lag=0), or can some variables (soft indicators) enter as leading indicators? Is a correlogram analysis performed to identify the number of lags that maximizes the correlation of the endogenous variables?