on cointegration

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smart
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Joined: Fri Jun 12, 2009 2:14 pm

on cointegration

Postby smart » Fri Jun 12, 2009 3:18 pm

hi.... i have questions about conintegration:
1- when there are two cointegration vectors by using johanson test, does that mean there is more than one error correction terms in one equation?
2- if yes, how can it be interpreted from economic pointview?

thanks in advance

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