Question: The estimated GARCH volatility model parameters and t-statistics are given below. Volatility Prediction for today is 20%. If the stock falls by 2% today, what

The estimated GARCH volatility model parameters and t-statistics are given below.

The estimated GARCH volatility model parameters and t-statistics are given below. Volatility Prediction for today is 20%. If the stock falls by 2% today, what will be forecast for volatility next day? Parameter Estimates param t-stat 0.0000255 14.10 a 0.053 27.12 k IB 0.940 505.68

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