Testing For and Dating Common Breaks in Multivariate Time Series

S-Tier
Journal: Review of Economic Studies
Year: 1998
Volume: 65
Issue: 3
Pages: 395-432

Authors (3)

Jushan Bai (Columbia University) Robin L. Lumsdaine (not in RePEc) James H. Stock (not in RePEc)

Score contribution per author:

2.681 = (α=2.01 / 3 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper develops methods for constructing asymptotically valid confidence intervals for the date of a single break in multivariate time series, including I(0), I(1), and deterministically trending regressors. Although the width of the asymptotic confidence interval does not decrease as the sample size increases, it is inversely related to the number of series which have a common break date, so there are substantial gains to multivariate inference about break dates. These methods are applied to two empirical examples: the mean growth rate of output in three European countries, and the mean growth rate of U.S. consumption, investment, and output.

Technical Details

RePEc Handle
repec:oup:restud:v:65:y:1998:i:3:p:395-432.
Journal Field
General
Author Count
3
Added to Database
2026-01-24