Comparing the cointegration tests of singular partial linear value test with Johansen test in a practical applicatian

Most of the time, regression of a time series variable may be spurious when compared to that of one or more time series variable. To avoid this, it is recommended to examine the cointegration relationship between the variables. This study investigates the cointegration relationship between the variables in the models of non-stable time series and presents Johansen Test, being one of the multivariate cointegration tests, Singular Partial Linear Value Test, developed with reference to Johansen approach. Then, a sample numerical application is carried out. The aim is to establish the differences put forward in the tests and elaborate the methods. Key Words : Stability, Cointegration, Johansen Test, Singular Partial Linear Value Test