Document Type
Article
Department/Program
Government
Journal Title
RESEARCH & POLITICS
Pub Date
10-4-2017
Volume
4
Issue
4
Abstract
In a recent Research and Politics article, we showed that for many types of time series data, concerns about spurious relationships can be overcome by following standard procedures associated with cointegration tests and the general error correction model (GECM). Matthew Lebo and Patrick Kraft (LK) incorrectly argue that our recommended approach will lead researchers to identify false (i.e., spurious) relationships. In this article, we show how LK's response is incorrect or misleading in multiple ways. Most importantly, when we correct their simulations, their results reinforce our previous findings, highlighting the utility of the GECM when estimated and interpreted correctly.
Recommended Citation
Enns, Peter K.; Kelly, Nathan J.; Masaki, Takaaki; and Wohlfarth, Patrick C., Moving forward with time series analysis (2017). RESEARCH & POLITICS, 4(4).
https://doi.org/10.1177/2053168017732231
DOI
https://doi.org/10.1177/2053168017732231
