A generalized least squares estimation method for VARMA models. (Revised edition).

In this paper a new generalized least squares procedure for estimating VARMA models is proposed. This method differs from existing ones in explicitly considering the stochastic structure of the approximation error that arises when lagged innovations are replaced with lagged residuals obtained from a...

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Detalhes bibliográficos
Autores: Flores de Frutos, Rafael, Serrano García, Gregorio
Formato: informe técnico
Fecha de publicación:1997
País:España
Recursos:Universidad Complutense de Madrid (UCM)
Repositorio:Docta Complutense
Idioma:inglés
OAI Identifier:oai:docta.ucm.es:20.500.14352/64177
Acesso em linha:https://hdl.handle.net/20.500.14352/64177
Access Level:acceso abierto
Palavra-chave:VARMA models estimation
Generalized least squares
Model specification.
Modelos VARMA
Residuos minimocuadráticos
Método de Doble Regresión.
Estadística matemática (Matemáticas)
1209 Estadística
Descrição
Resumo:In this paper a new generalized least squares procedure for estimating VARMA models is proposed. This method differs from existing ones in explicitly considering the stochastic structure of the approximation error that arises when lagged innovations are replaced with lagged residuals obtained from a long VAR. Simulation results indicate that this method improves the accuracy of estimates with small and moderate sample sizes, and increases the frequency of identifying small nonzero parameters, with respect to both Double Regression and exact maximum likelihood estimation procedures.