Table 4

ADF unit root test results

SeriesLevelFirst difference
Test statisticsI(d)Test statisticsI(d)
LTRC−2.887I(1)−7.524**I(1)
SEA−2.486I(1)−4.406**I(1)
SE−4.239***I(0)−4.503**I(1)
FDI−2.876I(1)−9.834**I(1)
LDSP−1.601I(1)−4.822**I(1)
CPI−4.364***I(0)−7.893**I(1)

Note(s): The notation of I(d) represents the order of integration. Tests are conducted with an intercept and trend based on characteristics of the empirical data. MacKinnon (1996) critical values for intercept with trend as: −4.192, −3.521 and −3.191, at 1%, 5% and 10% levels, respectively. The model is estimated by setting the maximum lag to 2, which was selected based on Schwarz’s (1978) information criteria (SIC). Asterisks, *** and ** indicate significance at 1% 5% levels, respectively

Source: Authors’ estimation from data

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