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Non-linear dependence and Granger causality: A vine copula approach

Non-linear dependence and Granger causality: A vine copula approach

Inspired by Jang et al. (2022), we propose a Granger causality-in-the-mean test for bivariate $k-$Markov stationary processes based on a recently introduced class of non-linear models, i.e., vine copula models. By means of a simulation study, we show that the proposed test improves on the statistical properties of the original …