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However, the coefficient on the error correction term when the budget is worsening is significant in the revenue and expenditure equations. The error correction term indicates the speed of adjustment towards the long-rum equilibrium, and is found to be statistically significantly negative in the stock return. The size of the error correction term for the 25th quartile, the median, and the 75th quartiles are relatively large and negative for the specification p to ulc (normalization (2b), Table 4). |
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