[R] Running a GMM Estimation on dynamic Panel Model using plm-Package

[bstudent]

Hello,

although I searched for a solution related to my problem I didn´t find one,
yet. My skills in R aren´t very large, however.
For my Diploma thesis I need to run a GMM estimation on a dynamic panel
model using the "pgmm" - function in the plm-Package.

The model I want to estimate is: "Y(t) = Y(t-1) + X1(t) + X2(t) + X3(t)" .

There are no "normal" instruments in this model. There just should be the
"gmm-instruments" I need for the model.
In order to estimate it, I tried the following code:

>
> library(plm)
> 
> test <- pgmm(Y ~ lag(Y, 1) + X1 + X2 + X3 | lag(Y, 1), data=Model,
> effect="individual", model="onestep")
> 
>

I tried "Model" as "Modelp <- pdata.frame(..." and as "Model <-
read.table(..." but in both cases there´s an error-massage:

Error in solve.default(Reduce("+", A2)) : 
  System ist für den Rechner singulär: reziproke Konditionszahl =
4.08048e-22

Error in solve.default(Reduce("+", A2)) : 
  System is singulary for the computer: reciprocal number of conditions =
4.08048e-22


I really can´t help myself since the standard plm-estimations "within" or
"first difference" are working well.

I hope you understood what I´m trying to do and my description is adequate.

Thank you very much!!!!!

Kind regards.

bStudent


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