Estimate a var involving equations, Econometrics

Question 1:

a) Explain what is a VAR giving an example both in the form of an equation and matrix. Discuss its benefits and limitations.

b) How can we estimate a VAR involving equations having a contemporaneous feedback term?

c) Distinguish between variance decomposition and impulse response functions.

Question 2:

(a) What are the two types of non-stationarity that exist and show how one of them can be made stationary?

(b) How do we test for a unit root?

(d) Using the Engle-Granger approach show how parameters can be estimated in cointegrated systems.

Related Discussions:- Estimate a var involving equations

Find out price elasticity of demand.., demand function(qd)=650-5p-p2 where ...

demand function(qd)=650-5p-p2 where p=10

Multicolinarity, t-ratio under multicolinarity

t-ratio under multicolinarity

Primal and dual lp problems, As in the model solved initially, the followin...

As in the model solved initially, the following is the LP model Maximize Z = $42.13*(x 11 + x 12 + x 13 + x 14 ) + $38.47*(x 21 + x 22 + x 23 + x 24 ) + $27.87*(x 31 + x

Equation prove, prove that summation k =0 and summation kxi=1

prove that summation k =0 and summation kxi=1

Firm''s marginal revenue function, A firm has the following inverse demand ...

A firm has the following inverse demand function: where Q is Quantity and P is Price (a) Find the firm's marginal revenue function. (b) Find the level of out

F testing, given the formula for f statistic prove that by using the f stat...

given the formula for f statistic prove that by using the f statistic you can derive this formula

MULTI REGRESSION, HOW CAN I GET MULTI REGRESSION

HOW CAN I GET MULTI REGRESSION

Monopoly, suppose only one professor teaches economics at your university, ...

suppose only one professor teaches economics at your university, would you say that this prof is a monopolist who can exact any price from students in the form of readings assigned

Dummy Variable, Define Dummy Variable and write its importance in Regressio...

Define Dummy Variable and write its importance in Regression model.

Need help with Econometrics Coursework, Hello I am a PostGrad student. Need...

Hello I am a PostGrad student. Need some help in the coursework

Write Your Message!

Name

Email id

Message

Verfication Code

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

User Account

All Pages