<p>Greetings I am running a time series which will use vector error correction model. My dependent variable is economic base which is comprised of manufacturing, mining and construction sectors. I have a different economic base for each MSA in PA. One of the regressors is noneconomic base which are the remaining industries for each MSA. THe objective is apply the dynamic time series methods of the cointegration and error correction model that enables sectoral interactions. These model fully estimate the long-run equilibrium relationships among the economic sectors in these MSAs. Would it be feasible to add state GDP as a regressor for each MSA equation?</p>

CC BY-SA 4.0
2018-07-02T16:41:02.807Z
What is MSA and PA exactly?
EconJohn
CC BY-SA 4.0
2018-07-02T18:16:27.133Z
MSA is metropolitan statistical area. and PA is Pennslyvania.
gr8694
<econometrics><time-series>
Would it be appropriate to include state level variable with MSA model?
gr8694
# Would it be appropriate to include state level variable with MSA model?

(Asked by: username_0 on 2018-07-02)

Greetings I am running a time series which will use vector error correction model. My dependent variable is economic base which is comprised of manufacturing, mining and construction sectors. I have a different economic base for each MSA in PA. One of the regressors is noneconomic base which are the remaining industries for each MSA. THe objective is apply the dynamic time series methods of the cointegration and error correction model that enables sectoral interactions. These model fully estimate the long-run equilibrium relationships among the economic sectors in these MSAs. Would it be feasible to add state GDP as a regressor for each MSA equation?

**Tags:** econometrics, time-series

> **Comments:**
> **username_1**: What is MSA and PA exactly?  
> **username_0**: MSA is metropolitan statistical area. and PA is Pennslyvania.  

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## 0 answers

