What Is the Primary Difference Between ARCH Models and GARCH

question 2

Essay

What is the primary difference between ARCH models and GARCH models?

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Definitions:

First Amendment

An amendment to the U.S. Constitution protecting freedoms concerning religion, expression, assembly, and the right to petition.

Service of Process

The procedure by which a party to a lawsuit gives an appropriate notice of initial legal action to another party (such as a defendant), court, or administrative body in an effort to exercise jurisdiction over that person or entity.

Appellate Court

A higher court, usually consisting of more than one judge, that reviews the decision and results of a lower court (either a trial court or a lower-level appellate court) when a losing party files for an appeal. Appellate courts do not hold trials but may request additional oral and written arguments from each party; they issue written decisions, which collectively constitute case law or the common law. Also called court of appellate jurisdiction.

Trial Court

The level of court in which civil and criminal cases are initially tried and judged, as opposed to appellate courts which review decisions made by trial courts.