Explain the effect of the dummy variable in the tgarch model, Microeconomics

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Explain the effect of the dummy variable in the tgarch model

Problem

Explain the effect of the dummy variable in the TGARCH model. Why does it enter the variance equation in a multiplicative form, and what is the rationale behind this?

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: Explain the effect of the dummy variable in the tgarch model

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Microeconomics: Explain the effect of the dummy variable in the tgarch model

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