Multivariate Time Series Models: VAR and VECM
Multivariate time series models track several economic variables that move together. VAR captures the feedback, VECM adds a long-run equilibrium.
Econometrics
Unlock the power of econometrics with insights on key models and tools that help explain and forecast economic trends. Perfect for both beginners and advanced researchers.
Nonlinear Econometric Models
When a straight line will not do: threshold models, regime switching and volatility clustering, what each is for, and how...
Logit and Probit: Binary Choice Models
A binary outcome cannot be fitted with a straight line. Logit and probit pass the same linear index through an...
Distributed Lag Models Explained
Distributed lag models capture effects that arrive over time: the finite Almon lag, the infinite Koyck lag and its decay...
Endogeneity and Instrumental Variables
Endogeneity is when a regressor is correlated with the error term, so OLS is biased. What causes it, how to...
Panel Data in Econometrics: How to Use It
What panel data is, why it beats cross-sections and time series alone, fixed versus random effects, the Hausman test, and...
Why Stationarity Matters in Time Series
Why stationarity matters in time series econometrics: what a stationary series is, the spurious regression problem, and the Dickey-Fuller unit...
An Introduction to Time Series Econometrics: ARMA Models and Forecasting
Learn how ARMA models in time series econometrics can forecast economic trends like inflation and stock prices.
How to Choose an Econometric Model
Model selection balances fit against simplicity. How AIC, BIC and adjusted R-squared penalise complexity, and how to avoid overfitting your...
What is Multicollinearity and How to Handle It in Econometrics?
Learn what multicollinearity is in econometrics and how to detect and solve it for accurate regression analysis.