The variables under study are of mixed orders of integration i.e., I(0) and I(1). I want to estimate the long-run relationship between variables therefore it is recommended to apply pooled mean group panel ARDL test. So, it is necessary to apply pedroni cointegration test before?
Mwoya Byaro
Cointegration aim to test whether the variables are in equilibrium ( stationary) to ensure long run relationship of the variables. The use of ARDL implies testing the short & long run relationship of the variables under the assumption of cointegration either 1(0) or 1(1)! Thus, there is no need to test Pedron cointegration again
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