Question: Given Yt = 0Xt + Yt1, what is the short-run effect of a one-unit change in X? What is the long-run impact (multiplier) for the

Given Yt = β0Xt + λYt−1, what is the short-run effect of a one-unit change in X? What is the long-run impact (multiplier) for the model?

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In the given model Yt 0Xt Yt1 Shortrun effect The shortrun effect refers to the immediate impact of ... View full answer

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