The lag length in a VAR using the BIC proceeds as follows: Among a set of candidate values of p, the estimated lag length xxxis the value of p

A) For which the BIC exceeds the AIC
B) That maximizes BIC(p)
C) Cannot be determined here since a VAR is a system of equations, not a single one
D) That minimizes BIC(p)


Answer: D

Economics

You might also like to view...

What is the relationship between net borrower, net lender, debtor nation, and creditor nation?

What will be an ideal response?

Economics

The first credit card was issued in

A) 1950 by Francis X. McNamara. B) 1958 by Bank of America. C) 1981 by James Tobin. D) 1974 by Citibank.

Economics

An increase in taxes has the following impact on the budget constraint

A) a parallel move down. B) a parallel move up. C) a tilting to the left. D) a tilting to the right.

Economics

The implementation of the assembly line is an example of how

A) changes in the organization of production improve productivity. B) neutral technical change improves productivity. C) non-neutral technical change can decrease productivity. D) labor saving technical change increases economy-wide unemployment.

Economics