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You obtain the following estimates for an AR(2) model of some returns data yt=0.803yt1+0.682yt2+ut where ut is a white noise error process. By examining the
You obtain the following estimates for an AR(2) model of some returns data yt=0.803yt1+0.682yt2+ut where ut is a white noise error process. By examining the characteristic equation, check the estimated model for stationarity
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