On the Relationship between Estimate and Its t Value
Affiliation(s)
1 Graduate School of Economics, Kobe University, Kobe, Japan. 2 Faculty of Economics, Kobe University, Kobe, Japan.
1 Graduate School of Economics, Kobe University, Kobe, Japan. 2 Faculty of Economics, Kobe University, Kobe, Japan.
ABSTRACT
It is generally believed that the signs of the estimated coefficient and its t value should be the same. This paper, however, shows that there may be an inconsistency in the signs of the estimated coefficient and its t value when we use the group mean dynamic OLS estimator developed by Pedroni (2001).
It is generally believed that the signs of the estimated coefficient and its t value should be the same. This paper, however, shows that there may be an inconsistency in the signs of the estimated coefficient and its t value when we use the group mean dynamic OLS estimator developed by Pedroni (2001).
Cite this paper
Matsuoka, Y. and Hamori, S. (2015) On the Relationship between Estimate and Its t Value. Theoretical Economics Letters, 5, 1-3. doi: 10.4236/tel.2015.51001.
Matsuoka, Y. and Hamori, S. (2015) On the Relationship between Estimate and Its t Value. Theoretical Economics Letters, 5, 1-3. doi: 10.4236/tel.2015.51001.
References
[1] Stock, J.S. and Watson, M.W. (2011) Introduction to Econometrics. 3rd Edition, Addison-Wesley, Boston. [2] Wooldridge, J.M. (2013) Introductory Econometrics: A Modern Approach. 5th Edition, South-Western Pub, Mason. [3] Pedroni, P. (2001) Purchasing Power Parity Tests in Cointegrated Panels. Review of Economics and Statistics, 83, 727-731. http://dx.doi.org/10.1162/003465301753237803
[1] Stock, J.S. and Watson, M.W. (2011) Introduction to Econometrics. 3rd Edition, Addison-Wesley, Boston. [2] Wooldridge, J.M. (2013) Introductory Econometrics: A Modern Approach. 5th Edition, South-Western Pub, Mason. [3] Pedroni, P. (2001) Purchasing Power Parity Tests in Cointegrated Panels. Review of Economics and Statistics, 83, 727-731. http://dx.doi.org/10.1162/003465301753237803