Null Hypothesis: UR has a unit root Exogenous: Constant Lag Length: 0 (Automatic - based on SIC, maxlag=7) Augmented Dickey-Fuller test statistic Test critical values: 1% level 5% level 10% level *MacKinnon (1996) one-sided p-values. Augmented Dickey-Fuller Test Equation Dependent Variable: D(UR) Method: Least Squares Date: 10/30/22 Time: 12:01 Sample (adjusted): 1992 2021 Included observations: 30 after adjustments Variable UR(-1) с R-squared Adjusted R-squared S.E. of regression Sum squared resid Log likelihood F-statistic Prob(F-statistic) Coefficient -0.250702 5.259639 Std. Error t-Statistic -2.228169 0.2010 -3.670170 -2.963972 -2.621007 t-Statistic 0.112515 -2.228169 5.916721 0.888945 0.150608 Mean dependent var 0.120272 S.D. dependent var 26.16191 Akaike info criterion 19164.48 Schwarz criterion Prob.* -139.4624 Hannan-Quinn criter. 4.964739 Durbin-Watson stat 0.034078 Prob. 0.0341 0.3816 -2.520703 27.89301 9.430827 9.524240 9.460711 1.523559

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Interpret the generated results at 5% level of significance. 

Null Hypothesis: UR has a unit root
Exogenous: Constant
Lag Length: 0 (Automatic - based on SIC, maxlag=7)
Augmented Dickey-Fuller test statistic
Test critical values:
1% level
5% level
10% level
*MacKinnon (1996) one-sided p-values.
Augmented Dickey-Fuller Test Equation
Dependent Variable: D(UR)
Method: Least Squares
Date: 10/30/22 Time: 12:01
Sample (adjusted): 1992 2021
Included observations: 30 after adjustments
Variable
UR(-1)
с
R-squared
Adjusted R-squared
S.E. of regression
Sum squared resid
Log likelihood
F-statistic
Prob(F-statistic)
Coefficient
-0.250702
5.259639
0.150608
0.120272
26.16191
19164.48
Std. Error
t-Statistic
-2.228169
-3.670170
-2.963972
-2.621007
t-Statistic
Prob.
0.112515 -2.228169 0.0341
5.916721 0.888945
0.3816
Mean dependent var
S.D. dependent var
Akaike info criterion
Schwarz criterion
Prob.*
-139.4624 Hannan-Quinn criter.
4.964739 Durbin-Watson stat
0.034078
0.2010
-2.520703
27.89301
9.430827
9.524240
9.460711
1.523559
Transcribed Image Text:Null Hypothesis: UR has a unit root Exogenous: Constant Lag Length: 0 (Automatic - based on SIC, maxlag=7) Augmented Dickey-Fuller test statistic Test critical values: 1% level 5% level 10% level *MacKinnon (1996) one-sided p-values. Augmented Dickey-Fuller Test Equation Dependent Variable: D(UR) Method: Least Squares Date: 10/30/22 Time: 12:01 Sample (adjusted): 1992 2021 Included observations: 30 after adjustments Variable UR(-1) с R-squared Adjusted R-squared S.E. of regression Sum squared resid Log likelihood F-statistic Prob(F-statistic) Coefficient -0.250702 5.259639 0.150608 0.120272 26.16191 19164.48 Std. Error t-Statistic -2.228169 -3.670170 -2.963972 -2.621007 t-Statistic Prob. 0.112515 -2.228169 0.0341 5.916721 0.888945 0.3816 Mean dependent var S.D. dependent var Akaike info criterion Schwarz criterion Prob.* -139.4624 Hannan-Quinn criter. 4.964739 Durbin-Watson stat 0.034078 0.2010 -2.520703 27.89301 9.430827 9.524240 9.460711 1.523559
Expert Solution
Step 1

From the first table, we see that the p-value of Augmented Dickey Fuller test is 0.2010 which is greater than 0.05 level of significance. 
So we accent null hypothesis hence UR has a unit root.

 

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