Analysis on Local Railroad Freight Transportation's Unit Root Process of Structural Changes

In order to help concerned department and local railroad bureau to distinguish, grasp opportunity, and impel local railroad freight transportation's development, the article introduces the newest econometrics measurement tool - structural change model. Applying unit root test and trend stationary test of structural change model, and using HeNan Province's history data for the period 1981-2005, the paper analyzes local railroad freight transportation's data-generating process. These conclusions, which come from above analysis, indicate that local railroad freight transportation's date generation process don't have trend stability's characteristic and are unit root process of structural changes. At the same time, by way of endogenous and exogenous structural changes' unit root test, we seek to local railroad freight transportation's endogenous and exogenous structural change points. Structural change, in 2000 year, which coincides with larger changes in the management, is found to be significant.