Gregory C. Chow, father of the Chow Test of stability of economic relations and a major contributor to econometrics and economics, here provides a unified and simple treatment of dynamic economics. Using dynamic optimization as his main theme, Chow introduces the Lagrange method as a more...

We estimate a time-varying regression model to study the relationship between returns in the Shanghai and New York stock markets, with possible inclusion of lagged returns. The parameters of the regressions reveal that the effect of the current stock return for New York on that for Shanghai...