Lecture Applied econometric time series (4e) - Chapter 1: Difference equations
Lecture Applied econometric time series (4e) - Chapter 1: Difference equations
This chapter’s objectives are to: Explain how stochastic difference equations can be used for forecasting and illustrate how such equations can arise from familiar economic models, explain what it means to solve a difference equation, demonstrate how to find the solution to a stochastic difference equation using the iterative method,...