how to interpret error term for mdcev?
Posted: 23 Aug 2025, 12:28
How to interpret the error (σ) term for mdcev? model performance how to interpret the error term comming to be -.343 (t value -20.09)
Hi,
I am very surprised to hear you got a negative estimate for sigma in MDCEV (or eMDC). The likelihoods of these models would break down for negative values of sigma. If you can, please share your code and data with me through email. You can write to David.Palma[at]uab.cat
Best wishes,
David