hello everyone,
well i want to apply varselect function in rstudio. The time series are not stationary. They are so at first difference. Shall I apply the varselect on my variables at level or at first difference?
My second question is that I applied the co integration test but I don't know which r shall I choose from this output.
output
''' test 10pct 5pct 1pct
r <= 7 | 2.79 7.52 9.24 12.97
r <= 6 | 5.87 13.75 15.67 20.20
r <= 5 | 12.78 19.77 22.00 26.81
r <= 4 | 17.34 25.56 28.14 33.24
r <= 3 | 25.68 31.66 34.40 39.79
r <= 2 | 32.77 37.45 40.30 46.82
r <= 1 | 62.44 43.25 46.45 51.91
r = 0 | 123.77 48.91 52.00 57.95'''