problema write down the equation for symmetric


Problem:

(a) Write down the equation for symmetric GARCH and clearly explain its components.

(b) Explain the term ‘volatility clustering'.

(c) How would you model leverage effects in equation you mentioned in (a) and why do they manifest?

(d) How would you decide whether a time series data set requires GARCH modelling?

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Econometrics: problema write down the equation for symmetric
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