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2009 Apr 01
1
VAR with binary endogenous variables
...s anyone know if a vector autoregression package is avaialable that allows binary variables as part of the endogenous system? I'm looking for something along the lines of what is implemented in "Dynamic Forecasts of Qualitative Variables: A Qual VAR Model of US Recessions" by Michael Dueker, 2003, Fed Reserve Bank of St. Louis. Another possibility is the autoregressive conditional hazard model by Hamilton. Thx! Best, John [[alternative HTML version deleted]]