vi Contents
Part IV Cross-section and Panel Data Applications
11 Discrete Choice Modeling 473
William Greene, Stern School of Business, New York University
12 Panel Data Methods and Applications to Health Economics 557
Andrew M. Jones, University of York
13 Panel Methods to Test for Unit Roots and Cointegration 632
Anindya Banerjee, University of Birmingham, and Martin Wagner,
Institute forAdvanced Studies, Vienna
Part V Microeconometrics
14 Microeconometrics: Current Methods and Some Recent Developments 729
A. Colin Cameron, University of California, Davis
15 Computational Considerations in Empirical Microeconometrics:
Selected Examples 775
David T. Jacho-Chávez and Pravin K. Trivedi, Indiana University
Part VI Applications of Econometrics to Economic Policy
16 The Econometrics of Monetary Policy: An Overview 821
Carlo Favero, IGIER-Bocconi University
17 Macroeconometric Modeling for Policy 851
Gunnar Bårdsen, Norwegian University of Science and Technology,
and Ragnar Nymoen, University of Oslo
18 Monetary Policy, Beliefs, Unemployment and Inflation: Evidence
from the UK 917
S.G.B. Henry, National Institute of Economic and Social Research
Part VII Applications to Financial Econometrics
19 Estimation of Continuous-Time Stochastic Volatility Models 951
George Dotsis, Essex Business School, University of Essex,
Raphael N. Markellos, Athens University of Economics and Business,
and Terence C. Mills, Loughborough University
20 Testing the Martingale Hypothesis 972
J. Carlos Escanciano, Indiana University, and Ignacio N. Lobato,
Instituto Tecnológico Autónomo de Mexico
21 Autoregressive Conditional Duration Models 1004
Ruey S. Tsay, Booth Business School, University of Chicago
22 The Econometrics of Exchange Rates 1025
Efthymios G. Pavlidis, Ivan Paya, and David A. Peel,
Lancaster University Management School