Unit Root Tests

question 32

Multiple Choice

Unit root tests

• A)use the standard normal distribution since they are based on the t-statistic.
• B)cannot use the standard normal distribution for statistical inference. As a result the ADF statistic has its own special table of critical values.
• C)can use the standard normal distribution only when testing that the level variable is stationary, but not the difference variable.
• D)can use the standard normal distribution but only if HAC standard errors were computed.

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Definitions:

Ego Integrity

A term from Erikson's theory of psychosocial development describing a late-life stage where individuals achieve a sense of acceptance of their own life, leading to feelings of fulfillment and wisdom.

Reminiscence

The act of recalling and sharing memories from the past.

Life Review

A process often undertaken in older adulthood, where individuals reflect on their lives, interpreting and reinterpreting their experiences and decisions.

Continuity Theory

The perspective that older adults strive to maintain continuity and consistency in self across the past and into the future; successful elders retain a sense that they are the same person they have always been despite physical, cognitive, emotional, and social changes.