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If =1, equation (5a) becomes a random walk, that is, a non stationary process. As a result of thisthere tends to be the so called unit root problem which means there is a situation of non stationarity in the series. However, if <1, this means that the series Yt is stationary. However, the unit rootcase, equation (5a) can be further manipulated by subtracting Yt 1 from both sides and obtain:
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