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Jan 14 2016 06:03pm
Am I interpreting these properly?

ADF output
Test Stat = -1.268
P Value = 0.195
5% Crit Value = -1.99

Since test < 5% crit value I can reject null hypothesis of unit root which means the relationship is stationary

KPSS output
Test Stat = 0.211
P Value = 0.247
5% Crit Value = 0.46

Since test > 5% crit value I cannot reject null hypothesis of stationary

This post was edited by Branket on Jan 14 2016 06:04pm
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Jan 17 2016 10:18am
need more background. what is thebackground? like what is null and alternative hypotheses?

but yes, if p-value is less than .05, you reject.
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