Effects of industrialization on Tanzania’s economic growth: a case of manufacturing sector

Future Business Journal

Table 3 Unit root test results

Variable	ADF test (p-value)		Difference variables	ADF test (p-value)	Order of integration
	Lag 1	Lag 2		At 1^st Difference
LGDPN	0.8522	0.7810	dLGDPN	0.0115**	I(1)
LMANU	0.9113	0.9005	dLMANU	0.0038***	I(1)
LMINQ	0.9854	0.9689	dLMINQ	0.0002***	I(1)
LCNST	0.9853	0.9903	dLCNST	0.0000***	I(1)
LWSSE	0.8000	0.7839	dLWSSE	0.0000***	I(1)
LAGRC	0.4677	0.3706	dLAGRC	0.0003***	I(1)
LSERC	0.9165	0.9265	dLSERC	0.0000***	I(1)

Variables	AD Test (p-value)		Difference variables	ADF test (p-value)		Drifting	Order of Integration
	Lag 1	Lag 2		Lag 1	Lag 2
LMVA	0.03929	0.5253	dLMVA	0.0010***			I(1)
LFDI	0.4311	0.0738	dLFDI	0.0000***			I(1)
LXRT	0.6884	0.6305	dLXRT	0.1714	0.308	0.0052***	I(1) Drift
LNDC	0.6550	0.5412	dLNDC	0.0002***			I(1)
LLFO	0.9639	0.9656	dLLFO	0.0200**			I(1)

(i) McKinnon (1980) critical values are used for rejection of the null hypothesis of the Unit Root. i.e., *, ** and, *** indicate rejection of null hypothesis of the Unit root at 10%, 5% and 1% levels of significance respectively
(ii) ADF stands for Augmented Dickey Fuller