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Fat tails in leading indicators
Örebro University, Örebro University School of Business.ORCID iD: 0000-0001-8124-328x
Örebro University, Örebro University School of Business. National Institute of Economic Research, Sweden.ORCID iD: 0000-0002-4840-7649
2020 (English)In: Economics Letters, ISSN 0165-1765, E-ISSN 1873-7374, Vol. 193, article id 109317Article in journal (Refereed) Published
Abstract [en]

We analyse four leading indicators in the US economy using autoregressive models and find strong evidence in favour of GARCH effects. All series remain fat-tailed after controlling for GARCH effects, suggesting that non-Gaussianity of the innovations should be accounted for.

Place, publisher, year, edition, pages
Elsevier, 2020. Vol. 193, article id 109317
Keywords [en]
Non-Gaussianity, GARCH
National Category
Economics
Identifiers
URN: urn:nbn:se:oru:diva-82714DOI: 10.1016/j.econlet.2020.109317ISI: 000551630000030Scopus ID: 2-s2.0-85086407125OAI: oai:DiVA.org:oru-82714DiVA, id: diva2:1436536
Funder
The Jan Wallander and Tom Hedelius Foundation, P18-0201 W19-0021Available from: 2020-06-08 Created: 2020-06-08 Last updated: 2020-08-26Bibliographically approved

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Kiss, TamásÖsterholm, Pär

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