Transition Modeling and Econometric Convergence Tests

• Main Authors: PHILLIPS, Peter C. B., SUL, Donggyu
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2007
• Subjects: Club convergence; relative convergence; common factor; convergence; log t regression test; panel data; transition.; Econometrics
• Online Access: https://ink.library.smu.edu.sg/soe_research/60
• Institution: Singapore Management University

A new panel data model is proposed to represent the behavior of economies in transition, allowing for a wide range of possible time paths and individual heterogeneity. The model has both common and individual specific components, and is formulated as a nonlinear time varying factor model. When appli...