The Study of the GDP Simulation Model based on 3SLS-PCA

摘要

Utilizing three-stage least squares method (3SLS) as basic algorithm, eventually establish a model which can clearly describe the development of Chengdu's GDP through data collection initial construction, application of principal compo nent analysis (PCA) dealing with multicollinearity, parameter estimation as well as model validation and error analysis. The model can accurately simulate the relation ship between development of Chengdu's GDP and the main economic variables in order to provide scientific support for government decision-making.