Publication Type

Journal Article

Version

submittedVersion

Publication Date

11-2015

Abstract

This paper provides a supplement to two companion papers by the authors: “Testing for Multiple Bubbles: Historical Episodes of Exuberance and Collapse in the S&P 500” (PSY1 hereafter); and “Testing for Multiple Bubbles: Limit Theory of Real Time Detectors” (PSY2 hereafter). Section 1 supplements the empirical application of PSY1 by examining the robustness of the bubble identification and dating results to the choice of the minimum window size parameter used in the rolling regression framework of PSY. Section 2 provides proofs of supplementary lemmas that facilitate analysis of the multiple bubble case, derives the limit behaviour of the recursive unit root and BDF test statistics discussed in PSY2 in a model with two bubble episodes, and gives complete proofs for Theorem 4-9 in PSY2 which describe the consistency properties of the PWY, PSY and sequential PWY dating procedures.

Discipline

Econometrics

Research Areas

Econometrics

Publication

International Economic Review

Volume

56

Issue

4

First Page

1

Last Page

99

ISSN

0020-6598

Identifier

10.1111/iere.12131

Publisher

Wiley

Copyright Owner and License

Authors

Additional URL

https://doi.org/10.1111/iere.12131

Included in

Econometrics Commons

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