Nina S. Jones (University of Washington) Eric Zivot University of Washington
Abstract
Using an array of unit root and structural break tests we find that the trend behavior of two air pollutants, Nitrogen Oxides (NOX) and Volatile Organic Compounds (VOCs), is substantially different. VOCs emissions are found to be trend-stationary with a break at the time the Clean Air Act of 1970 was passed whereas NOX emissions are found to be difference-stationary. The presence and location of a trend break in the NOX emissions depends on the test used, whether the break date is known or unknown in advance, the null hypothesis specification, and on data transformations.
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Publisher Info
Paper provided by University of Washington, Department of Economics in its series Working Papers with number
UWEC-2007-33.
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