The paper introduces a novel approach to testing for unit roots in panels. Following Chang and Park (2004), the approach takes a new contour that is drawn along the line given by the equi-squared-sum instead of the traditional one given by the equi-sample-size. As we show in the paper, the distributions of the unit root tests based on nonlinear IV t-ratios (which includes the Dickey-Fuller test...

We investigate the performance of a battery of standard unit root tests when the true data generating process has a Markov-switching trend growth rate and variance. Regime switching under both the null hypothesis of a unit root and the alternative hypothesis of trend stationarity is considered. In contrast to the case of a single break in trend growth rate, multiple Markov-switching breaks unde...

The paper investigates whether there are periods when platinum prices follow the random walk process (weak-form efficient) and periods when they deviate from the random walk theory (mean reversion). Monthly log returns of platinum prices are examined using the Augmented Dickey-Fuller test (ADF) and a GARCH model with time-varying properties. A GARCH model with time-varying properties is able to...

High inflation is among the undesirable conditions for economies of countries in terms macroeconomics. Inflation generally seen two different reasons. These can be listed as demand-pull and cost-push inflation. The objective study to investigate source Turkey. For this purpose, monthly producer price index consumer series period January 2006 July 2021 were used. First, stationarity variables wa...

Introduction. High and sustained economic growth with low inflation is the central objective of macroeconomic policy makers. Therefore, has been one most researched topics in macroeconomics for last many years because it serious implications GDP growth. The main aim this empirical study to examined relationship b/w (GDP) Gross Domestic Product Growth Pakistan by using time series data from 1990...

This study examines the short- and long-run of causal correlation between economic growth (G.R.) renewable electricity generation sources for a panel 25 developing nations over period 1990–2017. To do so, second-generation cross-sectional dependence (C.D.) test Im, K.S., Pesaran Augmented Dickey-Fuller unit root test, cointegration, autoregressive distributed lag in view pooled mean group estim...

Purpose: The goal of this study is to look at the determinants that contribute income inequality in Malaysia. Methodology: time series spans years 1990 - 2019, with 30 observations. empirical findings were obtained using three important econometrics tests through E-views software: Augmented Dickey-Fuller (ADF) test and Phillips-Perron (PP) test, JJ Cointegration Vector Error Correction Model (V...

The recent improvement of China’s national income has been a global phenomenon due to the uncertain financial and economic conditions. Hence, current research investigates impact production consumption capabilities human capital capacity on wealth China. This study uses secondary data from sources, including World Bank Indicators (WDI), 1991 2020 examine stationarity constructs using augmented ...