structural break
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structural break
After running a stability diagonistic tests (Cusum test and Chow Breakpoint) I found that some of the time series have a structural break. My question is how to remove this structural break or how to deal with problem?
Re: structural break
Hi, I'm researching the relationship between real oil prices and real exchange rates from Jan 1980 to Dec 2013. I've created two first difference log variables. Should I do a mutiple structural break test before I do the ADF test or vice versa? Some literature do it before and another after? So I'm not sure? Could you please help?
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