shocks and Granger-caused by the other two economies, local factors account for a large proportion of output growth … Hong Kong growth dynamics. Interestingly, the U.S. does not appear to exert undue influences on Hong Kong. …

, the adjusted data offer a weaker evidence on the cointegration relationship between a) the sectoral output indexes, b …

shocks and Granger-caused by the other two economies, local factor account for a large proportion of output growth … Hong Kong growth dynamics. Interestingly, the U.S. does not appear to exert undue influences on Hong Kong. …

related overshooting behavior. Using a bivariate system, the paper illustrates the relationship of the cointegration, saddle … saddle-path behavior from cointegration dynamics. Using monthly data from five major industrial countries, we find that … exchange rates and prices are cointegrated. The cointegration result casts doubt on the use of saddle-path dynamics and the …