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Approximate Asymptotic Distribution Functions for Unit-Root and Cointegration Tests

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Author Info
MacKinnon, James G

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Abstract

Monte Carlo experiments and response surface regressions are used to calculate approximate asymptotic distribution functions for a number of well-known unit root and cointegration test statistics. These allow empirical workers to calculate approximate P values for these tests. The results of the paper are based on an extensive set of Monte Carlo experiments, which yield finite-sample quantiles for several sample sizes. Response surface regressions are then used to obtain asymptotic quantiles for a large number of different test sizes. Finally, approximate distribution functions with simple functional forms are estimated from these asymptotic quantiles.

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Publisher Info
Article provided by American Statistical Association in its journal Journal of Business and Economic Statistics.

Volume (Year): 12 (1994)
Issue (Month): 2 (April)
Pages: 167-76
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Handle: RePEc:bes:jnlbes:v:12:y:1994:i:2:p:167-76

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