THE LIMIT DISTRIBUTION OF THE CUSUM OF SQUARES TEST UNDER GENERAL MIXING CONDITIONS

B-Tier
Journal: Econometric Theory
Year: 2008
Volume: 24
Issue: 3
Pages: 809-822

Authors (2)

Deng, Ai (not in RePEc) Perron, Pierre (Boston University)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

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

Abstract

We consider the cumulative sum (CUSUM) of squares test in a linear regression model with general mixing assumptions on the regressors and the errors. We derive its limit distribution and show how it depends on the nature of the error process. We suggest a corrected version that has a limit distribution free of nuisance parameters. We also discuss how it provides an improvement over the standard approach to testing for a change in the variance in a univariate times series. Simulation evidence is presented to support this.

Technical Details

RePEc Handle
repec:cup:etheor:v:24:y:2008:i:03:p:809-822_08
Journal Field
Econometrics
Author Count
2
Added to Database
2026-01-25