RDP 2018-02: Affine Endeavour: Estimating a Joint Model of the Nominal and Real Term Structures of Interest Rates in Australia Equation (2)

Δ X t+1 =μ+θ X t + ε t+1 MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaaeiLdiaahIfadaWgaaWcbaGaamiDaiabgUcaRiaaigdaaeqaaOGaeyypa0JaeqiVd0Maey4kaSIaeqiUdeNaaCiwamaaBaaaleaacaWG0baabeaakiabgUcaRiabggHiLlabew7aLnaaBaaaleaacaWG0bGaey4kaSIaaGymaaqabaaaaa@490E@