Is the consumption-income ratio stationary? Evidence from linear and non-linear panel unit root tests for OECD and non-OECD countries

Cerrato, Mario, de Peretti, Christian and Stewart, Chris (2013) Is the consumption-income ratio stationary? Evidence from linear and non-linear panel unit root tests for OECD and non-OECD countries. The Manchester School, 81(1), pp. 102-120. ISSN (print) 1463-6786

Full text not available from this archive.

Abstract

This paper applies recently developed heterogeneous non-linear and linear panel unit root tests that account for cross-sectional dependence to 24 OECD and 33 non-OECD countries’ consumption–income ratios over the period 1951–2003. We apply a recently developed methodology that facilitates the use of panel tests to identify which individual crosssectional units are stationary and which are non-stationary. We find that the majority (78 per cent) of the series are non-stationary with slightly fewer non-OECD countries’ (74 per cent) series exhibiting a unit root than OECD countries (83 per cent)

Item Type: Article
Research Area: Economics and econometrics
Faculty, School or Research Centre: Faculty of Arts and Social Sciences > School of Economics, History and Politics (from November 2012)
Depositing User: Chris Stewart
Date Deposited: 04 Apr 2013 09:21
Last Modified: 04 Apr 2013 09:21
URI: http://eprints.kingston.ac.uk/id/eprint/25277

Actions (Repository Editors)

Item Control Page Item Control Page