Programming capabilities
Statistical methods
Working with data
Interface
RATS Professional

Programming Capabilities

The command-driven language at the heart of the program remains easy to learn and use for simple jobs, but its extensive programming capabilities also allow you to handle much more complex tasks. Features include user-definable procedures and functions, looping and program control instructions, and the ability to create user-defined menus and dialog boxes. With these capabilities, you can automate complex or repetitive tasks, and even write sophisticated menu- and dialog-driven end-user applications.

All versions of RATS also offer "batch mode" operation. You can run jobs several ways: from the command line; by dragging and dropping files; or by double-clicking on a desktop icon. This is especially helpful for users who need to run the same jobs on a regular basis.

Statistical Methods

1) Estimation Techniques

• Multiple regressions including stepwise
• Regression with autoregressive errors
• Heteroscedasticity/serial-correlation correction, including Newey-West
• Non-linear least squares
• Two-stage least squares for linear, non-linear, and autocorrelated models
• Seemingly unrelated regressions and three-stage least squares
• Non-linear systems estimation
• Generalized Method of Moments
• Maximum likelihood estimation
• Constrained optimization
• Extensive built-in hypothesis testing capabilities.
• Pre-written procedures for a huge variety of other tests, including unit-root, stability, and much more
• Limited and discrete dependent variable models: logit, probit, censored/truncated (Tobit), count models
• Panel data support, including fixed and random effects estimators
• Non-parametric regressions
• Kernel density estimation
• Robust estimation
• Recursive least squares
• State-space models, including Kalman filtering and smoothing, simulations, and optimal control models
• Neural network models
• Linear and quadratic programming
• Dynamic Stochastic General Equilibrium (DSGE) models

2) Time Series Procedures

• Easy to specify lags and leads for time-series model estimation and analysis
• ARIMA and ARMAX models including multiplicative seasonal models; support for arbitrary lag structures
• Transfer function/intervention models
• Error correction models
• Kalman filter
• Spectral analysis

3) Forecasting

• Time series models
• Regression models
• Exponential smoothing
• Static or dynamic forecasts
• Simultaneous equation models (unlimited number of equations)
• Simulations with random or user-supplied shocks
• Forecast performance statistics, including Theil U statistics

4) Vector Autoregressions (VARs)

• Unmatched support for VAR models
• Error Correction models
• Structural VARs. Choice of factorizations, including estimating a factor matrix from a covariance matrix model
• Impulse responses, with Monte Carlo and Importance Sampling techniques for standard error bands.
• Forecasting
• Variance decomposition
• Historical decomposition
• Extensive hypothesis testing tools
• CATS 2.0 add-on provides industry-leading cointegration analysis

5) ARCH and GARCH Models

• Univariate and multivariate, including BEKK, diagonal, CC, DCC, and Vech multivariate models
• Support for GARCH-in-mean models
• Additional exogenous variables in mean and/or variance equations
• Normal, t and GED distributions
• Asymmetry
• Robust standard errors

Working With Data

1) Data Entry

• Menu-driven Data Wizards for reading in data
• Reads and writes Excel files, text files, Haver databases, and other formats
• Pro version supports SQL/ODBC
• On-screen data viewer and editor, with point-and-click graphing and statistics tools
• Can handle virtually any data frequency, including daily, weekly, intra-day, and panel data
• Can automatically convert data to different frequencies
• RATS data file format is fast and easy, supports all frequencies, and allows you to store series of different frequencies on the same file

2) Data Transformations

• Flexible transformations with algebraic formulas
• Easy to create trend series, seasonal, and time period dummies
• Extensive filtering operations, including Hodrick-Prescott, Henderson, Spencer, and custom filters
• Supports regular, seasonal, and fractional differencing

3) Graphics

• Time series graphics
• X-Y scatter plots
• Dual-scale graphs
• Box plots
• Contour graphs
• Ability to arrange multiple graphs on a single page
• Copy-and-paste graphs into other applications
• Export graphs to many formats, including PostScript and Windows Metafile
• User can customize attributes such as line thickness, colors and grayscale levels, and fill patterns

Interface

1) Interactive Mode Environment

• Text-editor based
• Point-and-click “wizards” for many tasks, greatly enhancing ease-of-use
• Saved programs can be re-run with just a few mouse clicks
• Designed so that you can reproduce results, output, and graphs easily and accurately (a critical but often overlooked requirement for producing reliable, publication-quality results)
• True multiple window support. Simultaneously view your input commands and output, spreadsheet-style “report” windows, graphs, and more

2) Programmability

• Extensive looping capabilities and support for applying operations to lists of variables make it possible to automate many repetitive tasks
• You can write procedures, which can perform complex tasks with a single instruction, and write your own callable functions.
• A library of procedures written by rats users from around the world is available free of charge on our web site
• A variety of interface-related instructions allow you to create your own drop-down menus, custom dialog boxes, and more

RATS Professional

The Professional versions of RATS add the following features not found in the Standard version:

• Support for reading databases via ODBC/SQL
• Census Bureau X11 seasonal adjustment routine
• Support for FAME data files (for Windows and unix/linux)
• Support for CRSP data files