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Covariance in mean equation

Posted: Wed Oct 15, 2014 5:55 pm
by ramadhan23
currently im working on international CAPM thesis, and i wanna know is it possible to use covariance estimated from multivariate garch in mean equation instead of variance or standard deviation?

i attach the model ive been trying to create..

and is it possible to have different option in "archm" instead only var, standard deviation, and log(var) ??

thank you