A RESEARCH STUDY OF NONLINEARITY EXPERIENCING IN THE RATE OF CURRENT ACCOUNT DEFICIT TO THE BULGARIAN HEALTH AND CARE NATIONAL PRODUCT

Venelin TERZİEV; Stoyanka PETKOVA GEORGİEVA

doi:https://doi.org/10.18769/ijasos.592334

Article Details

A RESEARCH STUDY OF NONLINEARITY EXPERIENCING IN THE RATE OF CURRENT ACCOUNT DEFICIT TO THE BULGARIAN HEALTH AND CARE NATIONAL PRODUCT

Authors:

Venelin TERZİEV | Stoyanka PETKOVA GEORGİEVA

Main Topics:

Sociology and anthropology

Journal:

IJASOS- International E-journal of Advances in Social Sciences 2019 Vol.5 Issue 14, pp.685-693

Document Type:

Article

Publication Date:

9/2019

Document Language:

English

Document ID (Org No.):

2000716702

DOI:

https://doi.org/10.18769/ijasos.592334

Abstract:

 


called Regime Switching Models: TAR, SETAR, Markov
Switching Model, etc. Usually, the behavior of time series exhibit breaks is
associated with structural changes in government policy or financial crises. In
the present research it is used as an example the calculated data about the
rate of current account deficit to the Bulgarian Health and Care National
Product. The series are hard to be modeling because of the structural change of
the government policy about the Bulgarian Health and Care National Product. The
basic hypothesis that is tested in the conducted research is that when there is
a case of changes in the time series in their structure it is impossible the
principles of linearity assumption to be applied. In the traditional
econometrics as a science the linearity is an important assumption but there
are practical evidences in which most of the time series do not provide this
assumption. These cases of such time series behavior are called nonlinearity
series. It is important to test the linearity assumption because of the
differing between the ways of modeling the series in the case of linearity and
nonlinearity using the date of the rate of current account deficit to the
Bulgarian Health and Care National Product. If any series do not provide the
linearity assumption and also have change in the structure then the case can be
modeling with TAR, SETAR or Markov Switching Model. We provided the research by
questioning whether there is nonlinearity in the rate of proportion of current
account deficit to the Bulgarian Health and Care National Product and it is
experienced with four nonlinearity tests: Kaplan Test, McLeod-Li test, BDS Test
and Tzay Test.

.

Article Details

A RESEARCH STUDY OF NONLINEARITY EXPERIENCING IN THE RATE OF CURRENT ACCOUNT DEFICIT TO THE BULGARIAN HEALTH AND CARE NATIONAL PRODUCT

Authors: Venelin TERZİEV | Stoyanka PETKOVA GEORGİEVA

Main Topics: Sociology and anthropology

Journal: IJASOS- International E-journal of Advances in Social Sciences 2019 Vol.5 Issue 14, pp.685-693

Document Type: Article

Publication Date: 9/2019

Document Language: English

Document ID (Org No.): 2000716702

DOI: https://doi.org/10.18769/ijasos.592334

Issues

Authors:

Venelin TERZİEV | Stoyanka PETKOVA GEORGİEVA

Main Topics:

Sociology and anthropology

Journal:

IJASOS- International E-journal of Advances in Social Sciences 2019 Vol.5 Issue 14, pp.685-693

Document Type:

Article

Publication Date:

9/2019

Document Language:

English

Document ID (Org No.):

2000716702

DOI:

https://doi.org/10.18769/ijasos.592334