Table 5.

Cointegration tests

same ARModel 1Model 2Model 3
Kao testModified DF tparameter,–14.3347***–14.3099***–14.4830***
DF tinclude time–16.2714***–16.5392***–16.6899***
ADF ttrend–12.7106***–12.4962***–12.7806***
Unadjusted modified DF t–20.4352***–20.7837***–20.9638***
Unadjusted DF t–17.1337***–17.4737***–17.6123***
Pedroni testmodified PP tAR parameter is4.9354***4.7157***4.7229***
PP tpanel specific–3.4199***–3.4743***–4.0751***
ADF t–6.1580***–6.1121***–6.7485***
Modified VRSame AR–5.8034***–5.7819***–5.9050***
Modified PP tparameter for all3.6106***3.2147***3.2476***
PP tpanels–4.1067***–4.4490***–4.9251***
ADF t–6.6863***–6.6974***–7.3960***
Westerlund testVRsome panels are cointegrated2.7015***2.9068***2.5203***
Note(s):

***p<0.01, **p<0.05, *p<0.1; DF- Dickey-Fuller, ADF- Augmented Dickey-Fuller, PP-Phillips-Perron, VR-variance ratio

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