Error Correction:

D (FDI)

D (GDP)

D (SENSEX)

D (NIFTY)

D (FER)

Coint Equation (1)

−0.090682

−17.25145

−0.695982

−0.102232

−7.991217

(0.50039)

(6.42117)

(0.25722)

(0.06037)

(2.23226)

[−0.18122]

[−2.68665]

[−2.70575]

[−1.69353]

[−3.57988]

D (FDI(−1))

−0.240852

18.75446

0.969069

0.179131

9.921206

(0.36266)

(4.65378)

(0.18642)

(0.04375)

(1.61784)

[−0.66413]

[4.02994]

[5.19820]

[4.09435]

[6.13237]

D (FDI(−2))

−0.110690

15.26814

0.063997

0.011251

0.847555

(0.36929)

(4.73886)

(0.18983)

(0.04455)

(1.64742)

[−0.29974]

[3.22190]

[0.33712]

[0.25254]

[0.51448]

D (GDP(−1))

−0.035856

1.244052

0.014577

0.003082

0.185073

(0.02330)

(0.29900)

(0.01198)

(0.00281)

(0.10394)

[−1.53886]

[4.16071]

[1.21702]

[1.09638]

[1.78050]

D (GDP(−2))

0.000684

0.428654

0.032087

0.005923

0.190215

(0.02221)

(0.28500)

(0.01142)

(0.00268)

(0.09908)

[0.03081]

[1.50406]

[2.81054]

[2.21074]

[1.91988]