A Comparative Study in Methods of Estimating Cointegration Regressin with Practical Application

Abstract

Providing a clear picture of the nature and content of the research, this study pioneered the fundamental concepts of time-dynamic minute analysis, variance analysis, unit root probability, integration tests, and technical methods for estimating plasma model parameters.

Based on this foundation, the research focused on testing the stability of time-dependent strains, confirming the existence of co-integration between these strains, and then comparing the following methods and estimations:

1- Ordinary Copy Method (OLS).

2- Fully Ordinary Copy Method (FMOLS).

3- Ordinary and Systematic Copy Method (DOLS).

4- Canonical Integral Covariance Estimator (CCR).

These concepts were applied in the practical aspect using the Eviews 7 statistical software.

The results we obtained were as follows:

The general term for the prices of electronic laptops is statistically influenced by a specific factor. This means that the monetary factor is important in determining the overall Consumer Price Index. This can be explained by the fact that an increase in the volume of transactions will lead to an increase in investment in the purchase of various services. To meet this demand, a large amount of circulating cash is available to stimulate the Iraqi economy. The ratio between domestic and foreign authorities in terms of ranges is statistically significant, indicating an important financial model in the Japanese economy,  A regression model was applied to integrate signals and an error correction model for the two research phenomena: the general index of smartphone prices in Iraq, and local tracking via instant internet.