  Econophysics, is based on the premise that some ideas and methods from
physics can be applied to economic situations. We intend to show in this paper
how a physics concept such as entropy can be applied to an economic problem. In
so doing, we demonstrate how information in the form of observable data and
moment constraints are introduced into the method of Maximum relative Entropy
(MrE). A general example of updating with data and moments is shown. Two
specific econometric examples are solved in detail which can then be used as
templates for real world problems. A numerical example is compared to a large
deviation solution which illustrates some of the advantages of the MrE method.
