Table 4 Unit root tests for the residuals
Estimated residual integration | Level | Mackinnon critical values for rejection of hypothesis of a unit root | Decision | Order of integration | ||
|---|---|---|---|---|---|---|
| Â | Â | 1% | 5% | 10% | Â | Â |
ADF unit root test | ||||||
Residual | −4.929 | −3.670 | −2.693 | −2.621 | Stationary at level | I (0) |
Philips-Perron (PP) unit root test | ||||||
Residual | −4.964 | −3.670 | −2.693 | −2.621 | Stationary at level | I (0) |