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Evaluation of the long memory relationship between gross national product and saving in Taiwan

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  • Wen Den Chen

Abstract

To enhance precise analysis of the relationship between GNP (gross national product) and Saving (gross national saving), a long memory relationship function is applied. From experience, it is known that assuring the variables are always cointegrated or fractionally cointegrated is not easy, so this letter develops a measure function to estimate the long memory relationship between two variables. The empirical study shows that GNP and saving have the long memory relationship d= 0.1449.

Suggested Citation

  • Wen Den Chen, 2001. "Evaluation of the long memory relationship between gross national product and saving in Taiwan," Applied Economics Letters, Taylor & Francis Journals, vol. 8(10), pages 655-657.
  • Handle: RePEc:taf:apeclt:v:8:y:2001:i:10:p:655-657
    DOI: 10.1080/13504850010029228
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