Over the past decade economic activity in the United States has been extremely erratic. The economy has experienced high peaks and deep troughs in the business cycle. The first few years of 1970 were typically characterized by an economic recovery. The middle 1970's have been referred to as a...

This paper tests for longrun relationships among the national equity markets of the G'7 countries using the Engle‐Granger two‐step procedure. Results indicate that cointegration is the norm among these seven equity markets in the post‐Bretton Woods period. Further, market adjustments to...