Matemática y Economía

Intuitive Mathematical Economics Series. Linear Algebra Techniques to Measure Business Cycles

Número
802
Autor
Tomás Marinozzi, Leandro Nallar, Sergio A. Pernice
Mes/Año
07/2021
Adjunto
Resumen

Linear algebra is without a doubt a fundamental tool to deal with empirical economic problems. The goal of this paper is to use some of these techniques to treat business cycles. To do that, we present the classic ordinary least square approach to estime the coefficients of a detrended time series in addition to the matrix form of the Hodrick-Prescott (HP) Filter. This is a paper is part of “Intuitive Mathematical Economic Series".