What is unit root test in statistics?
What is unit root test in statistics? In statistics, a unit root test tests whether a time series variable is non-stationary and possesses a unit root. The null hypothesis is generally defined as the presence of a unit root and the alternative hypothesis is either stationarity, trend stationarity or explosive root depending on the test used. What does Dickey Fuller test for? In statistics, the Dickey–Fuller test tests the null hypothesis that a unit root is present in an autoregressive time series model. The alternative hypothesis is different depending on which version of the test is used, but is usually...