Published in:Banco de Espana Working Paper ; No. 1744
Extent:
1 Online-Ressource (23 p)
Language:
English
DOI:
10.2139/ssrn.3087272
Identifier:
Origination:
Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments December 13, 2017 erstellt
Description:
The aim of this paper is to show the usefulness of Finite Mixture Markov Models (FMMMs) for regional analysis. FMMMs combine clustering techniques and Markov Switching models, providing a powerful methodological framework to jointly obtain business cycle datings and clusters of regions that share similar business cycle characteristics. An illustration with European regional data shows the sound performance of the proposed method