RDP 2005-05: Underlying Inflation: Concepts, Measurement and Performance Equation

ln L = 1 2 i = 1 N t = 1 T ln ( σ t 2 w i t ) 1 2 i = 1 N t = 1 T w i t σ i 2 ( π i t π t ) 2 . MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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@72B6@