Price convergence across regions in India

@article{Das2008PriceCA,
  title={Price convergence across regions in India},
  author={Samarjit Das and Kaushik Bhattacharya},
  journal={Empirical Economics},
  year={2008},
  volume={34},
  pages={299-313}
}
The paper attempts to examine whether there is price convergence across various regions in India. Using panel unit root tests that are robust to cross-sectional dependence, it is found that relative price levels among various regions in India are mean-reverting. Further, we decompose each series into a set of common factors and idiosyncratic components. The decomposition enables us to test stationarity and estimate half-lives of the common factors and the idiosyncratic components separately… 
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