Table VI. Second-generation panel unit...

Table VI.

Second-generation panel unit root tests and the CD test results

		Moon and Perron (2004) test**
Health care price inflation rate	Pesaran’s (2007) CIPS*	$t_{- a}^{*}$	$t_{- b}^{*}$	CD test-statistic**
A. Levels	−3.250**	−23.423*	−7.951*	28.82* (k = 2)
B. First differences	−4.956*	114.505*	−33.982*	25.38* (k = 2)

		Moon and Perron (2004) test**
Health care price inflation rate	Pesaran’s (2007) CIPS*	$t_{- a}^{*}$	$t_{- b}^{*}$	CD test-statistic**
A. Levels	−3.250**	−23.423*	−7.951*	28.82* (k = 2)
B. First differences	−4.956*	114.505*	−33.982*	25.38* (k = 2)

Notes:

and

indicate statistical significance at the 1% level and 5% level, respectively. k = lags. The observed common factor is equal to 1

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