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Table 2 Results of unit-root tests

From: Monetary and fiscal factors in nominal interest rate variations in Sri Lanka under a deregulated regime

Annual Series ADF Statistic PP Statistic Quarterly Series ADF Statistic PP Statistic
ia1t −3.125 (0.04) −3.793 (0.02) iq1t −4.653 (0.00) −3.923 (0.00)
ia2t −4.421 (0.00) −4.816 (0.00) iq2t −3.168 (0.03) −3.548 (0.01)
Bt −4.009 (0.00) −4.745 (0.00) M1qt −4.267 (0.00) −4.226 (0.00)
M1at −4.914 (0.00) −4.944 (0.00) M2at −6.157 (0.00) −6.413 (0.00)
M2at −4.858 (0.00) −7.579 (0.00) Eqt −3.460 (0.01) −3.126 (0.03)
Eat −5.144 (0.00) −5.143 (0.00) Yqt −4.408 (0.00) −5.523 (0.00)
Yat −6.668 (0.00) −6.661 (0.00)    
  1. Both ADF and PP tests have been conducted with the assumption “intercept but no trend” for the entire series. Values in parentheses indicate the probability of rejecting the null hypothesis on the unit root
  2. Source: Author’s estimation