Question: Explain the VEC model.

Explain the VEC model.

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Understanding the Vector Error Correction Model VEC The Vector Error Correction Model VEC is a statistical technique used to analyze and forecast inte... View full answer

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2. Explain the VEC model.

b) Anggap anda diberi keputusan berikut sebuah model anggaran VEC Suppose you were given the following results of an estimated VEC model ye = 5 -0.6(4t-1-1-0.5x4-1) Axe = 4 +0.4(Yt-1 - Bo - 0.5x4-1)...

13.3 The VEC model is a special form of the VAR forl(1) variables that are cointegrared Consider the following VEC model: Ay,: olo * crrr()r-r - Fo - \th*r) +v/ Lxt: rlzo * azt(y,_r - 9o - prxr_r) *...

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