Table 8. First generation panel unit root test results.
| Variables | LLC | IPS | ADF | PP | LLC | Breitung | IPS | ADF | PP | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Levels | First differences | ||||||||||
| Intercept | GDPC | -4.62*** | 0.72 | 48.89 | 44.92 | Intercept | 1.17 | -0.42 | 3.54 | 37.48 | 36.02 |
| GDPCG | -12.89*** | -11.77*** | 239.29*** | 235.58*** | -10.7*** | -3.98*** | -9.01*** | 186.48*** | 198.18*** | ||
| GGE | -0.1 | 0.42 | 83.89*** | 83.72*** | -1.38* | 4.71 | 0.68 | 69.23 | 94.24*** | ||
| GGEI | 0.38 | 3.81 | 55.52 | 56.8 | -3.54*** | 1.68 | -2.54*** | 91.36*** | 89.3*** | ||
| ESOX | -0.19 | 6.51 | 38.27 | 41.21 | -0.74 | 4.14 | 1.51 | 46.33 | 43.85 | ||
| ENOX | 2.65 | 4.81 | 63.8 | 69.29 | -2.04** | 2.5 | -0.71 | 75.94** | 79.12** | ||
| ENMVOC | -1.56* | 3.93 | 82.01** | 78.04** | -1.31* | 3.19 | -1.23 | 85.66*** | 79.12** | ||
| ENH3 | -9.45*** | -6.72*** | 182.32*** | 166.92*** | -6.92*** | 1.09 | -5.85*** | 146.18*** | 143.35*** | ||
| GGET | -4.17*** | -1.17 | 59.17 | 62.35 | 2.34 | 8.01 | 3.22 | 73.94* | 56.93 | ||
| ENVTR | -1.92** | -1.43* | 65.15 | 68.17 | 1.08 | 1.74 | 0.85 | 59.89 | 56.19 | ||
| PEC | -5.36*** | -3.91*** | 108.63*** | 111.86*** | -0.08 | 3.9 | 1.81 | 53.28 | 94.74*** | ||
| GIECRE | 1.58 | 5.91 | 26.76 | 28.96 | -4.13*** | -0.79 | -2.97*** | 98.43*** | 79.76** | ||
| GFCF | -1.59* | -1.91** | 80.03** | 50.67 | -2.9*** | -0.76 | -3.21*** | 93.79*** | 49.73 | ||
| RD | -0.43 | 3.33 | 38.58 | 35.42 | -0.94 | 2.4 | -0.38 | 73.19* | 74.84** | ||
| FFEC | 5.77 | 8.38 | 18.82 | 21.17 | 1.52 | 5.46 | 2.7 | 57.42 | 36.09 | ||
| EMPL | -1.28 | -0.06 | 68.16 | 74.63** | -4.78*** | -1.55* | -4.02*** | 105.37*** | 102.62*** | ||
| INDVA | -3.78*** | -1.49* | 73.02* | 82.23** | -11.68*** | -0.52 | -5.53*** | 318.2*** | 48.99 | ||
| CPI | 4.48 | 6.1 | 7.39 | 7.38 | 0.28 | 0.57 | 3.89 | 18.46 | 18.95 | ||
| Intercept and trend | GDPC | -12.9*** | -11.69*** | 239.01*** | 242.05*** | Intercept and trend | -10.8*** | -3.87*** | -9.33*** | 192.57*** | 228.36*** |
| GDPCG | -20.83*** | -21.1*** | 445.1*** | 806.35*** | -17.33*** | -10.9*** | -17.73*** | 343.66*** | 1912.96*** | ||
| GGE | -15.93*** | -15.98*** | 339.79*** | 409.63*** | -15.49*** | -5.97*** | -17.5*** | 342.98*** | 756.72*** | ||
| GGEI | -25.49*** | -25.27*** | 535.4*** | 740.92*** | -22.12*** | -10.32*** | -23.58*** | 489.05*** | 1659.86*** | ||
| ESOX | -17.27*** | -16.33*** | 343.84*** | 359.57*** | -17.27*** | -10.68*** | -16.46*** | 312.72*** | 367.78*** | ||
| ENOX | -17.37*** | -18.04*** | 373.57*** | 446.99*** | -14.41*** | -7.26*** | -16.44*** | 313.00*** | 1340.09*** | ||
| ENMVOC | -16.14*** | -15.94*** | 334.8*** | 374.03*** | -13.28*** | -7.35*** | -16.05*** | 306.78*** | 372.32*** | ||
| ENH3 | -16.61*** | -15.65*** | 324.43*** | 421.16*** | -15.46*** | -6.96*** | -13.97*** | 272.45*** | 374.08*** | ||
| GGET | -12.88*** | -12.71*** | 304.18*** | 300.72*** | -16.07*** | -3.43*** | -15.56*** | 353.61*** | 360.65*** | ||
| ENVTR | -12.65*** | -12.94*** | 258.19*** | 283.55*** | -8.7*** | -9.47*** | -10.63*** | 204.28*** | 266.51*** | ||
| PEC | -18.65*** | -18.21*** | 385.09*** | 490.16*** | -19.08*** | -8.36*** | -20.91*** | 480.65*** | 857.53*** | ||
| GIECRE | -21.39*** | -21.43*** | 441.63*** | 492.82*** | -18.23*** | -13.24*** | -18.5*** | 371.38*** | 1087.21*** | ||
| GFCF | -11.81*** | -11.8*** | 239.18*** | 260.53*** | -9.94*** | -5.82*** | -8.9*** | 177.47*** | 218.2*** | ||
| RD | -8.38*** | -9.37*** | 195.89*** | 508.07*** | -8.82*** | -5.01*** | -8.45*** | 174.26*** | 233.05*** | ||
| FFEC | -16.95*** | -17.32*** | 371.29*** | 412.5*** | -14.88*** | -6.72*** | -16.24*** | 319.42*** | 677.16*** | ||
| EMPL | -17.66*** | -15.56*** | 310.33*** | 427.82*** | -14.99*** | -7.68*** | -10.78*** | 221.95*** | 300.8*** | ||
| INDVA | -19.7*** | -17.65*** | 362.45*** | 360.33*** | -15.69*** | -9.42*** | -14.15*** | 270.04*** | 349.4*** | ||
| CPI | -20.25*** | -15.07*** | 299.1*** | 304.61*** | -18.74*** | -6.08*** | -12.36*** | 230.66*** | 243.6*** | ||
Source: Authors’ computations. Notes: lag lengths are determined via Schwarz Info Criterion. LLC reveals Levin, Lin and Chu t* stat. IPS reveals Im, Pesaran and Shin W-stat. ADF reveals Augmented Dickey-Fuller Fisher Chi-square. PP reveals Phillips–Perron Fisher Chi-square. LLC assumes common unit root process. IPS, ADF, and PP assumes individual unit root process. Probabilities for ADF and PP are computed using an asymptotic Chi-square distribution. Probabilities for the LLC, Breitung, and IPS tests are computed assuming asymptotic normality. For the definition of variables, please see Table 4.
*** indicates the statistical significance at 1% levels.
** indicates the statistical significance at 5% levels.
* indicates the statistical significance at 10% levels.