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Mathematical Modeling of the Price Volatility of Maize and Sorghum between 1960 and 2022

Journal of Mathematics Letters | Vol 1, Issue 1

Table 5. Parameter Estimates for ARCH/GARCH Models for Sorghum Returns

ParameterARCHGARCH(1 1)EGARCHTGRACHPARCHCGARCGIGARCH
Constant (C)0.002846 (0.00205) 0.002973 (0.00193)0.002171 (0.00195)0.002940 (0.00199)0.004641 (0.00012)0.001805 (0.00188)0.001640 (0.00240)
Intercept (βo) 0.002666 (0.00008) 5.06E-05 (0.00013)-7.27544 (0.70586)5.07E-05 (0000.15)0.027556 (0.01180)0.005610 (0.00294) 
ARCH term (β1)0.208610 (0.04162) 0.071813 (0.01106)0.364205 (0.056300)0.068624 (0.011924)0.066333 (0.009614)0.993188 (0.005011)-0.001468 (0.000477)
GARCH term (α1) 0.918402 (0.008298)0.133331 (0.051871)0.918656 (0.011539)-0.146633 (0.161236)0.063565 (0.012749)1.001468 (0.000477)
Γ  -0.217412 (0.123057)0.006086 (0.026810)0.900795 (0.007320)  
D    0.116385 (0.120912)  
Ø     0.163382 (0.039483) 
ρ      -0.263334 (0.148080) 
β1 + α1 0.9902150.4975360.98728-0.08031.0567531.0000
Log L1060.8071077.6831064.4071077.7071099.2561085.7121050.627
AIC-2.91006-2.953736-2.914462-2.951052-3.007582-2.970321-2.884805
SC-2.89113-2.928488-2.882901-2.919491-2.969709-2.932448-2.872181

Note: Numbers in parenthesis indicate standard error