Estimate a var involving equations, Econometrics

Assignment Help:

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

Nonlinear Adjustment for the Integration between Internation, Hi, I''m a Ph...

Hi, I''m a PhD student in empirical finance I’m trying to conduct bivariate nonlinear conintegration tests using threshold Vector Error Correction (TVEC) methodology (Hansen and Se

Probability distribution function, Assume the following table gives the joi...

Assume the following table gives the joint PDF (probability distribution function, not Adobe document!!) of two discrete variables, x and Y. Vari

Total differential of the tr , A firm's total revenue (TR) is prov...

A firm's total revenue (TR) is provided by pq, where p is price and q is quantity sold. Assume the firm is initially selling 1000 units of its product at a

Habib ullah vaseer, function its types

function its types

Vecm granger causality block exogenity wald test, please provide literature...

please provide literature on vecm granger causality block exogenity wald test and also tell how to interpret results

Find the cost of equity and wacc , Outdoor Travel Inc. needs to estimate th...

Outdoor Travel Inc. needs to estimate the cost of capital for the evaluation of capital expenditures. A typical project is financed with 25% debt-to-value ratio (i.e., D/(D+E) = 0.

Demand=price, expected solution plus hypothesis

expected solution plus hypothesis

Measurement error, what are the causes,consequences and remedy of measureme...

what are the causes,consequences and remedy of measurement error?

Stata, Please help me in using Stata

Please help me in using Stata

Econometrics, Models of time series

Models of time series

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