| Title: |
Smooth structural changes and common factors in nonstationary panel data: an analysis of healthcare expenditures† |
| Authors: |
Lee J.; Tieslau M.; You Y.; Nazlioglu S.; Karul C. |
| Publisher Information: |
Taylor and Francis Ltd. |
| Publication Year: |
2023 |
| Collection: |
Pamukkale University Repository / Pamukkale Üniversitesi Açık Erişim Arşivi |
| Subject Terms: |
Fourier function; Common factors; panel unit root; structural change |
| Description: |
This article suggests new panel unit root tests that allow for multiple structural breaks and control for cross-correlations in the panel. Breaks are modeled with a Fourier function, which allows for smooth or gradual change rather than abrupt breaks. Cross-correlations are corrected by using the PANIC procedure. The simulations show that our tests have good size and power properties and perform reasonably well when the nature of breaks or the factor structure is unknown. The new panel unit root tests support fresh evidence on the persistence of healthcare expenditures in OECD countries. © 2022 Taylor ; Francis Group, LLC. |
| Document Type: |
article in journal/newspaper |
| Language: |
English |
| Relation: |
Econometric Reviews; Makale - Uluslararası Hakemli Dergi - Kurum Öğretim Elemanı; https://hdl.handle.net/11499/47531; https://doi.org/10.1080/07474938.2022.2156740; WOS:000899806100001 |
| DOI: |
10.1080/07474938.2022.2156740 |
| Availability: |
https://hdl.handle.net/11499/47531; https://doi.org/10.1080/07474938.2022.2156740 |
| Rights: |
none |
| Accession Number: |
edsbas.E4BC7FE7 |
| Database: |
BASE |