Local linear fitting under near epoch dependence

Local linear fitting of nonlinear processes under strong (i.e., alpha-) mixing conditions has been investigated extensively. However, it is often a difficult step to establish the strong mixing of a nonlinear process composed of several parts such as the popular combination of autoregressive moving...

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Main Authors: Lu, Zudi, Linton, O.
Format: Journal Article
Published: Cambridge University Press 2007
Online Access:http://hdl.handle.net/20.500.11937/39409
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author Lu, Zudi
Linton, O.
author_facet Lu, Zudi
Linton, O.
author_sort Lu, Zudi
building Curtin Institutional Repository
collection Online Access
description Local linear fitting of nonlinear processes under strong (i.e., alpha-) mixing conditions has been investigated extensively. However, it is often a difficult step to establish the strong mixing of a nonlinear process composed of several parts such as the popular combination of autoregressive moving average (ARMA) and generalized autoregressive conditionally heteroskedastic (GARCH) models. In this paper we develop an asymptotic theory of local linear fitting for near epoch dependent(NED) processes. We establish the pointwise asymptotic normality of the local linear kernel estimators under some restrictions on the amount of dependence. Simulations and application examples illustrate that the proposed approach can work quite well for the medium size of economic time series.
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publishDate 2007
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spelling curtin-20.500.11937-394092018-08-08T05:19:49Z Local linear fitting under near epoch dependence Lu, Zudi Linton, O. Local linear fitting of nonlinear processes under strong (i.e., alpha-) mixing conditions has been investigated extensively. However, it is often a difficult step to establish the strong mixing of a nonlinear process composed of several parts such as the popular combination of autoregressive moving average (ARMA) and generalized autoregressive conditionally heteroskedastic (GARCH) models. In this paper we develop an asymptotic theory of local linear fitting for near epoch dependent(NED) processes. We establish the pointwise asymptotic normality of the local linear kernel estimators under some restrictions on the amount of dependence. Simulations and application examples illustrate that the proposed approach can work quite well for the medium size of economic time series. 2007 Journal Article http://hdl.handle.net/20.500.11937/39409 10.1017/S0266466607070028 Cambridge University Press fulltext
spellingShingle Lu, Zudi
Linton, O.
Local linear fitting under near epoch dependence
title Local linear fitting under near epoch dependence
title_full Local linear fitting under near epoch dependence
title_fullStr Local linear fitting under near epoch dependence
title_full_unstemmed Local linear fitting under near epoch dependence
title_short Local linear fitting under near epoch dependence
title_sort local linear fitting under near epoch dependence
url http://hdl.handle.net/20.500.11937/39409