...behind China. The products most exported by Japan are cars, industrial printers, vehicle parts, and integrated circuits. Japan’s climate is fairly normal. It is very cold in the winter and hot in the summer. Rice and noodles are the primary staples of the Japanese diet. Rice is served with almost every meal. Other foods that the Japanese are known for is sushi which is raw seafood with rice and sashimi which is raw seafood with soy sauce. The people of Japan usually have long live because they practice healthy eating habits. The Japanese have many festivals and ceremonies each year such as the Japanese new year, Seijin No Hi, The Hina Matsuri, cherry blossoms, merry kurismasu , and many more.There are four major forms of traditional Japnese theater that are famous around the world. These are Noh, Kyoygen, Kabuki, and...
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...Long Run Forecast of the Covariance Matrix Name: Instructor: Course: University: Date: Abstract Table of Contents Abstract i 1. Introduction - 1 - 1.1. Research Background - 1 - 1.2. Research Objectives - 3 - 1.3. Research Approach and Scope - 3 - 1.4. Layout of the Report - 4 - 1. Introduction 2.1. Research Background Volatility is an important concept in finance. Volatility modelling and forecasting finds usage in several core financial operations, for instance – many asset-pricing models use volatility as an estimation parameter for simple risk; several famous option pricing formulas such as Black-Scholes use volatility; volatility estimates and forecasts are crucial for portfolio management and also in hedging risk. Because of the importance of volatility, as can be seen from the examples above, the interest in modelling and forecasting volatility has increased many-fold in recent times, with a special emphasis on forecasting. There are several types of techniques available for forecasting volatility, with extraordinary diversity of procedure such as the Autoregressive Moving Average (ARMA) models, Autoregressive Conditional Heteroscedasticity (ARCH) models, Stochastic Volatility (SV) models, regime switching and threshold models. (Xiao and Aydemir, 2007:1) A broad division between the techniques is based on primary assumptions of constant variance i.e. homoscedastic e.g. AMA models, or non-constant variance i.e. heteroscedastic or...
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