spurious

Hi everyone, I'd like to have a confirmation on the correctness of the following interpretation: Let say that we want to run a very simple regression like the following one: We are regressing two I(1) series since x and y are assumed to be both described by a random walk process. The errors of...

Reporting

I have been reading everything I can get my hands on about spurious regression but can't seem to definitively find out what is best in regressing cross-sectional data including non-stationary variables. Example data: Country GDPyearofstudy Popdensyearofstudy Year of study...