Learn R Programming

ccgarch (version 0.2.2)

vec.garch.derivative: Computing partial derivatives of a vector GARCH(1, 1) equation

Description

This function computes partial derivatives of a vector GARCH(1, 1) equation with respect to its parameters.

Usage

vec.garch.derivative(dvar, B, h)

Arguments

dvar
a matrix of the data used for estimating an ECCC or DCC GARCH model $(T \times N)$
B
a GARCH parameter matrix in the vector GARCH equation $(N \times N)$
h
a matrix of conditional variances $(T \times N)$

Value

  • a vector of partial derivatives $(T \times N*npar.h)$

References

Nakatani, T. and T. Ter"asvirta (2009), Testing for Volatility Interactions in the Constant Conditional Correlation GARCH Model, Econometrics Journal, 12, 147--163. Nakatani, T. and T. Ter"asvirta (2008), Appendix to Testing for Volatility Interactions in the Constant Conditional Correlation GARCH Model Department of Economic Statistics, Stockholm School of Economics, available at http://swopec.hhs.se/hastef/abs/hastef0649.htm.