Munich Personal RePEc Archive

Rethinking Error Correction Model in Macroeconometric Analysis: A Relevant Review

PINSHI, Christian P. (2020): Rethinking Error Correction Model in Macroeconometric Analysis: A Relevant Review. Published in: Journal of Applied Economic Sciences , Vol. XV, (30 June 2020): pp. 267-274.

[img]
Preview
PDF
MPRA_paper_102644.pdf

Download (189kB) | Preview

Abstract

The cointégration methodology has bridged the growing gap between economists and econometricians in understanding dynamics, equilibrium and bias on the reliability of macroeconomic and financial analysis, which is subject to non-stationary behavior. This paper proposes a comprehensive literature review on the relevance of the error correction model. Econometricians and economists have shown that error-correction model is a powerful machine that provides the economic system and macroeconomic policy with a refinement in the econometric results

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.