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Beyond the Unit Root Question

Uncertainty and Inference

Datos Bibliográficos

ID6231502
AutoresChristopher M Webb (0000-0001-6840-9476, University of Kansas), Clayton Webb, Suzanna Linn (0000-0001-7758-4137, Penn State University), Matthew J Lebo (0000-0003-0334-2703, University of Western Ontario)
Año2020
Volumen64
Número2
Páginas275-292
Fecha de publicación2020-04-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaAmerican Journal of Political Science (JOURNAL)
Identificadores de la revistaISSN: 0092-5853 • E-ISSN: 1540-5907
EditorialWiley (PUBLISHER • GB)
DOI10.1111/ajps.12506
OpenAlexW3005811290
IdiomaEN
Citas recibidas23
Referencias citadas54

A fundamental challenge facing applied time‐series analysts is how to draw inferences about long‐run relationships (LRR) when we are uncertain whether the data contain unit roots. Unit root tests are notoriously unreliable and often leave analysts uncertain, but popular extant methods hinge on correct classification. Webb, Linn, and Lebo (WLL; 2019) develop a framework for inference based on critical value bounds for hypothesis tests on the long‐run multiplier (LRM) that eschews unit root tests and incorporates the uncertainty inherent in identifying the dynamic properties of the data into inferences about LRRs. We show how the WLL bounds procedure can be applied to any fully specified regression model to solve this fundamental challenge, extend the results of WLL by presenting a general set of critical value bounds to be used in applied work, and demonstrate the empirical relevance of the LRM bounds procedure in two applications

Data mining · Econometrics · Extant taxon · Inference · Machine learning · Relevance (law · Reliability engineering · Root (linguistics · Root cause · Set (abstract data type · Unit root · Value (mathematics · Artificial Intelligence · Complex Systems and Time Series Analysis · Computer Science · Engineering · Market Dynamics and Volatility · Mathematics · Monetary Policy and Economic Impact

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Obras citantes distintas23
Citas por año3,83
Intervalo de citas2020 - 2026 (7)
Velocidad de citacióncurrent
Altamente citadoNo
Tipos de citaNeutras: 22
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