Estimate the short-run and long-run elasticities, Business Economics

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Consider the following model:

Y*i= β0Xt β1eUt

a)  Using the stock adjustment model, estimate the short-run and long-run elasticities

b) Comment on the following processes :
i)  Autoregressive 
ii) Distributed lag

c) How is a fixed effect model (FEM) different  from an error components model (ECM)?

d) How do we test for "ARCH Effects"?

e) Briefly comment on two information criteria for model selection


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