1. Sectoral trends and cycles in Germany.
- Author
-
Yin-Wong Cheung and Westermann, Frank
- Subjects
INDUSTRIAL productivity ,MANUFACTURING industries ,AGRICULTURE ,MINERAL industries ,AGRICULTURAL industries ,STOCK exchanges ,ECONOMIC seasonal variations ,STOCK price indexes - Abstract
We examine the comovements between the output indexes of three German sectors (manufacturing, mining, and agriculture) and the three corresponding sectoral stock market indexes. It is found that data with and without seasonal adjustment give mixed results on the long-run interaction between the sectoral indexes. Compared with data that are non-seasonally adjusted, the adjusted data offer weaker evidence on the cointegration relationship between a) the sectoral output indexes, b) sectoral stock indexes, and c) individual pairs of real and financial indexes. On short-run comovement, seasonally adjusted data offer stronger evidence on the presence of common synchronized and non-synchronized cyclical components. [ABSTRACT FROM AUTHOR]
- Published
- 2003
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