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A Variance Ratio Test of the B...
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Spurious rejection of the stationarity hypothesis in the presence of a break point
Badillo, Rosa
;
Belaire-Franch, Jorge
;
Contreras, Dulce
- In:
Applied Economics
34
(
2002
)
15
,
pp. 1917-1923
It is shown that KPSS and LMC tests may be seriously biased when there is a shift in the level or in the trend of the time series under study.
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