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?

(c) What does it mean when two variables are cointegrated?

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


Related Discussions:- Estimate a var involving equations

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

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

Assignment., why do we make use of regression analysis in our econometrics ...

why do we make use of regression analysis in our econometrics analysis

Adult literacy, I have a project and I need help with the writing. I have t...

I have a project and I need help with the writing. I have the data and the SPSS regression, park test

Stata, Please help me in using Stata

Please help me in using Stata

Using R to generate results, I have a few econometric that require the use ...

I have a few econometric that require the use of R to generate the answer

Procurement, You are a logistics consultant for a rapidly growing online re...

You are a logistics consultant for a rapidly growing online retail company. They plan to expand their operations to a new geographical region.Task: Develop a comprehensive logistic

Differentiate between linear and log-linear model, Problem: (a) Differe...

Problem: (a) Differentiate between linear and log-linear model. (b) Distinguish between type I and type II errors. (c) (i) A bulb manufacturer claims that its bulbs last

Break-even, how to calculate equilibrium quantity and price

how to calculate equilibrium quantity and price

Estimate the electrons speed, An electron follows a helical path in a unifo...

An electron follows a helical path in a uniform magnetic field of magnitude 0.422T. The pitch of the path is 6.81 mm, and the magnitude force on the electron is 1.59 x 10 -15 N. W

Request of answers, Ask q2. Using a sample of 545 full-time workers, a rese...

Ask q2. Using a sample of 545 full-time workers, a researcher is interested in the question as to whether women are systematically underpaid compared with men. First, a research es

Write Your Message!

Captcha
Free Assignment Quote

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd