Abstract
AbstractThe main purpose of this study is to propose Johansen's [6] methodology of linear cointegration analysis as a tool to measure the purchasing power of the Ukrainian mean total wages (MTW) within the period of November 1993 to December 2004 expressed in terms of prices of some basic food products or of the Consumer Price Index (CPI). Nineteen monthly price time series of basic food products, the CPI and MTW published by the State Committee of Statistics of Ukraine (Derzhkomstat) have been selected. Preliminary studies of stationarity are undertaken to establish their degree of integratedness with a battery of adequate unit root tests. A cointegration analysis of couples of one of these price time series of some basic food products, respectively the CPI and the MTW time series are realised, yielding linear functions between both selected series, establishing tentative long‐run equilibrium relations for subperiods shorter than the interval 1993 to 2004. The results show that the purchasing power of the MTW, expressed in terms of the prices of some basic food products, respectively the CPI, gradually increased from 1993 to 2004. (© 2008 WILEY‐VCH Verlag GmbH & Co. KGaA, Weinheim)
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
