EXPLORING TWO INFLATIONARY REGIMES IN LATIN-AMERICAN ECONOMIES: A BINARY TIME SERIES ANALYSIS
Juan Brida () and
Nicolas Garrido ()
Additional contact information
Nicolas Garrido: Department of Economics, Universidad Catolica del Norte, Antofagasta, Chile
International Journal of Modern Physics C (IJMPC), 2006, vol. 17, issue 03, 343-356
The aim of this paper is to apply the methods of Symbolic Time Series Analysis (STSA) to a series of inflation from a group of Latin-American economies. Starting with a partition of two inflation regimes, we use data symbolization for identifying temporal patterns. Afterwards the statistical information obtained from the patterns is used to estimate the parameters of a nonlinear model proposed by Brida (2000).1We compare the performance of the model against a naive benchmark predictor to verify its power to anticipate the qualitative behavior of the inflation time series. When the use of STSA is made through pure optimization criteria, the performance of the model is poor. However, when the partition of the space of states is made according to economics intuition, the performance of the model increases considerably.
Keywords: Qualitative data analysis; symbolic time series; symbolic dynamics; economic regimes; regime dynamics (search for similar items in EconPapers)
References: View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
Access to full text is restricted to subscribers.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:wsi:ijmpcx:v:17:y:2006:i:03:n:s0129183106008509
Ordering information: This journal article can be ordered from
Access Statistics for this article
International Journal of Modern Physics C (IJMPC) is currently edited by H. J. Herrmann
More articles in International Journal of Modern Physics C (IJMPC) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().