In order to determine whether time series Y, contains a unit root, the following regression has been estimated by OLS for a sample of 100 observations AY 0.49-012Y,+054AYt where the numbers in parentheses are standard errors and where the number of lags was selected using the Bayes information Explain your answer. Write your explanation in the box below

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In order to determine whether time series Y, contains a unit root, the following regression has been estimated by OLS for a
sample of 100 observations
AY, 0.49 -0.12Y,-+054AY.
where the numbers in parentheses are standard errors and where the number of lags was selected using the Bayes information
criterion (BIC). Does the series Y, contain a unit root? Explain your answer, Write your explanation in the box below.
Transcribed Image Text:In order to determine whether time series Y, contains a unit root, the following regression has been estimated by OLS for a sample of 100 observations AY, 0.49 -0.12Y,-+054AY. where the numbers in parentheses are standard errors and where the number of lags was selected using the Bayes information criterion (BIC). Does the series Y, contain a unit root? Explain your answer, Write your explanation in the box below.
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