Testing for Output Convergence: A Re-Examination

Yin-Wong Cheung and Antonio I. Garcia Pascual

No 319, CESifo Working Paper Series from CESifo

Abstract: This paper investigates output convergence for the G7 countries using multivariate time series techniques. We consider both the null hypotheses of no convergence and convergence. It is shown that inferences on output convergence depend on which one of the two null hypotheses is considered. Further, the no convergence results reported in previous studies using the time series definition may be attributed to the low power of the test procedures being used. Our results also highlight some potential problems on interpreting results from some typical multivariate unit root and stationarity tests.

Keywords: Output convergence; multivariate test; unit root test; stationarity test (search for similar items in EconPapers)
Date: 2000
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://www.cesifo.org/DocDL/cesifo_wp319.pdf (application/pdf)

Related works:
Journal Article: Testing for output convergence: a re-examination (2004)
Working Paper: Testing for Output Convergence: A Re-examination (2004)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ces:ceswps:_319

Access Statistics for this paper

More papers in CESifo Working Paper Series from CESifo Contact information at EDIRC.
Bibliographic data for series maintained by Klaus Wohlrabe ().