prepare down the equation for the symmetric GARCH and clearly describe its components.
Illustrate the term ‘volatility clustering’.
How would you model leverage effects in equation you mentioned in (a) and why do they manifest?
How would you decide whether a time series data set needs GARCH modelling?
Using exs illustrate the concept of cointegration.
Illustrate the term ‘stationarity’ and its importance.
Make a distinction between stochastic and deterministic trends?