on cointegration
Posted: 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
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