Table 6 Johansen procedure Test type...

Table 6

Johansen procedure

Test type	Cointegrating vector	Aggregate unemployment insurance spending and labor force participation rate	Aggregate unemployment insurance spending and labor force participation rate for male	Aggregate unemployment insurance spending and labor force participation rate for female
Lambda max statistics	$r \leq 1$	1.76	0.43	5.41
Lambda max statistics	$r = 0$	18.79**	14.90**	21.02**
Trace statistics	$r \leq 1$	1.76	0.43	5.41
Trace statistics	$r = 0$	20.55**	15.32	26.42**

Test type	Cointegrating vector	Aggregate unemployment insurance spending and labor force participation rate	Aggregate unemployment insurance spending and labor force participation rate for male	Aggregate unemployment insurance spending and labor force participation rate for female
Lambda max statistics	$r \leq 1$	1.76	0.43	5.41
Lambda max statistics	$r = 0$	18.79**	14.90**	21.02**
Trace statistics	$r \leq 1$	1.76	0.43	5.41
Trace statistics	$r = 0$	20.55**	15.32	26.42**

Note(s): (1) Critical values for the $r \leq 1$ are 6.50 for 10%, 8.18 for 5% and 11.65 for 1% for the Lamda test and the Trace test, (2) Critical values for the $r = 0$ are 12.91 for 10%, 14.90 for 5% and 19.19 for 1% for the Lamda test and 15.66 for 10%, 17.95 for 5% and 23.52 for 1% for the Trace test, (3) for Lambda max statistics * for 1% and ** for 5% and (4) for Trace statistics * for 1% and ** for 5%

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