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garchFit (PR#10698)

2 messages · scott.yonker at gmail.com, Yohan Chalabi

#
Full_Name: Scott Yonker
Version: R for OSX Cocoa
OS: Mac OSX
Submission from: (NULL) (24.208.185.211)


The garchFit function in the Rmetrics libray cannot estimate ARCH models,
meaning that the number of beta terms in the model must be greater than zero. 
For this function neither p nor q can be set to zero without an error.  The
problem lies in both the specification of the objective function and in the
function that determines the initial parameter estimates.  A simple if statement
setting alpha=0 if p=0 and beta=0 if q=0 (I don't remember which is p or q I
might have these reversed) in both of these functions solves the problem.
#
SYC> The garchFit function in the Rmetrics libray cannot estimate
   SYC> ARCH models,
   SYC> meaning that the number of beta terms in the model must be
   SYC> greater than zero.
   SYC> For this function neither p nor q can be set to zero without
   SYC> an error.  The
   SYC> problem lies in both the specification of the objective function
   SYC> and in the
   SYC> function that determines the initial parameter estimates.
   SYC> A simple if statement
   SYC> setting alpha=0 if p=0 and beta=0 if q=0 (I don't remember
   SYC> which is p or q I
   SYC> might have these reversed) in both of these functions solves
   SYC> the problem.

Hi Scott,

Thank you for this information. I will care about it.

But please use the Rmetrics core team list (rmetrics-core at r-project.org) to send
bugs related to Rmetrics.

Regards,
Yohan