This video explains how to obtain the IMPULSE RESPONSE FUNCTION using #EViews.
@Komal Kanwar Shekhawat
Impulse response functions are useful for studying the interactions between variables in a vector autoregressive model.
Their main purpose is to describe the evolution of a model’s variables in reaction to a shock in one or more variables. This feature allows to trace the transmission of a single shock within an otherwise noisy system of equations and, thus, makes them very useful tools in the assessment of economic policies.
Do watch the video till end.
#eviews #eviewstutorial #impluseresponse
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