Credits: 3 (3-0-0)

Prerequisites: For UG students: HUL315 / HUL215

Description

  • Stationary Univariate Models : (a) Difference equation; (b) Wold’s decomposition; (c) ARMA models; d. Box-Jenkins methodology; (e) Model Selection; (f) Forecasting.
  • Non-stationary univariate models: (a) Trend/cyclical decomposition;

(b) Deterministic and stochastic trend models; (c) Unit root tests;

(d) Stationarity tests.

  • Structural change and non-linear models: (a) Test for structural change with unknown change point; (b) Estimation of linear models with structural change; (c) Regime switching models.
  • Stationary multivariate models; (a) Dynamic simulteneous equation models; (b) Vector Auto Regression (VAR); (c) Granger causality; (d) Impulse response function.
  • Non-stationary multivariate models: (a) Spurious regression; (b) Co-integration; (c) Vector Error Correction (VECM) model.
  • Time series model of heteroskedasticity: (a) ARCH, GARCH models.