WEIGHT: 56 kg
Services: Spanking (giving), Games, Massage, Striptease, Fetish
Therefore this mathematical equation is thus derived to examine the factors that impact diamond exports:. The ADF approach controls for higher-order correlation by adding lagged difference terms of the dependent variable y to the right-hand side of the regression:.
Also values for real exchange were 4. Table 2 summarizes the descriptive statistics obtained whiles Table 3 presents the correlation matrix of the model. As expected, the response variable exhibits a fairly strong relationship with the explanatory variables.
The ADF tests results show that all the variables to be insignificant at all levels but significant at first difference.
Table 4 presents the results of the ADF test and first difference results of the variables. The results also show that all the variables fall beyond their respective p-values, indicating a rejection of the null hypothesis of a unit root in favor of the alternative hypothesis of no unit root. The implication of these results is that all the variables entering into the Error Correction Model ECM are integrated of order 1. Table 2. Descriptive statistics. Correlation statistics. Table 4.
Summary of ADF unit root tests on variables. Having established the univariate properties of the variables, we went ahead to test to see if any long-run relationship existed among the variables. Hence, a Johansen Cointegration test was performed to determine the cointegrating rank of the model and the number of common stochastic trends that exist among the variables. The results of the Johansen Cointegration test are presented in Table 5. In order to have a full understanding of the extent of the relationship among the explanatory variables and the response variable, the long run model was assessed with the understanding of how the variables were assumed to have an effect on diamond exports based on the Engel-Granger methodology.