Which of the following tests helps in the detection of heteroskedasticity?

A. The Breusch-Pagan test
B. The Breusch-Godfrey test
C. The Durbin-Watson test
D. The Chow test

Answer: A

Economics

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Suppose the equilibrium real federal funds rate is 3 percent, the target rate of inflation is 3 percent, the current inflation rate is 1 percent, and real GDP is 8 percent below potential real GDP

If the weights for the inflation gap and the output gap are both 1/2, then according to the Taylor rule the federal funds target rate equals A) -3 percent. B) -1 percent. C) 3.5 percent. D) 7 percent.

Economics

What are the primary causes of hyperinflations? Explain

What will be an ideal response?

Economics