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Structural Gaussian mixture vector autoregressive model with application to the asymmetric effects of monetary policy shocks

Savi Virolainen

arXiv 9 Jul 2020 · Econometrics · 2 citations (OpenAlex)

arXiv:2007.04713 · PDF · DOI · OpenAlex · Extracted main text

Abstract

A structural Gaussian mixture vector autoregressive model is introduced. The shocks are identified by combining simultaneous diagonalization of the reduced form error covariance matrices with constraints on the time-varying impact matrix. This leads to flexible identification conditions, and some of the constraints are also testable. The empirical application studies asymmetries in the effects of the U.S. monetary policy shock and finds strong asymmetries with respect to the sign and size of the shock and to the initial state of the economy. The accompanying CRAN distributed R package gmvarkit provides a comprehensive set of tools for numerical analysis.

Citation extraction

41
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94
in-text mentions
41
distinct cited
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self-citations
11,443
main-text words

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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Lanne M., Lütkepohl H (2010) Structural Vector Autoregressions With Nonnormal Residuals1.00053100%
2Kilian L., Lütkepohl H (2017) Structural Vector Autoregressive Analysis0.96510490%
3Kalliovirta L., Meitz M., Saikkonen P (2016) Gaussian mixture vector autoregression0.9619589%
4Lanne M., Lütkepohl H., Maciejowsla K (2010) Structural vector autoregressions with Markov switching0.9416483%
5Koop G., Pesaran M., Potter S (1996) Impulse response analysis in nonlinear multivariate models0.9285480%
6Virolainen S (2018) gmvarkit: Estimate Gaussian And Student's $t$ Mixture Vector Autoregressive Models0.8434475%
7Muirhead R (1982) Aspects of Multivariate Statistical Theory0.7374450%
8Lütkepohl H (2005) New Introduction to Multiple Time Series Analysis0.73732100%
9Meitz M., Preve D., Saikkonen P. (forthcoming) (2021) A mixture autoregressive model based on Student's $t$-distribution0.6443267%
10Ramey V. A (2016) Macroeconomic Shocks and Their Propagation0.64422100%

Showing the top 10 of 41 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Structural Analysis of Vector Autoregressive Models0.64422