Evaluation of Agricultural Output Gap in Greece : 1858-1938

The objective of this paper is to estimate the agricultural output gap for Greece during the period 1858-1938 using the univariate approach. To investigate the unit root hypothesis we use the Lumsdaine & Papell methodology. We show that models containing the agricultural output gap, as measured by the Hondrick-Preskott (HP) filter, have more explanatory power and statistically superior properties compared to models containing output gaps calculated using other methodologies