Lu, Yang-Cheng Ralph; Chang, Tsangyao; Lee, Chia-Hao - In: Applied Economics Letters 19 (2012) 7, pp. 629-633
This study applies a newly developed Autoregressive Distributed Lag (ADL) test for threshold cointegration, proposed by Li and Lee (2010) to test the validity of long-run Purchasing Power Parity (PPP) for a sample of transition countries (i.e. Bulgaria, the Czech Republic, Estonia, Hungary,...