Record Details

Unemployment Hysteresis In Turkey And 15 Eu Countries: A Panel Approach

Research Journal of Economics, Business and ICT

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Field Value
 
Title Unemployment Hysteresis In Turkey And 15 Eu Countries: A Panel Approach
 
Creator Ener, Meliha; Department of Economics, Biga Faculty of Economics and Administrative Science, Canakkale Onsekiz Mart University, Biga 17200
Arica, Feyza; Department of Economics, Biga Faculty of Economics and Administrative Science, Canakkale Onsekiz Mart University, Biga 17200
 
Subject —
Structural break, unemployment, Cross-section dependency, panel unit root tests
C23, J64
 
Description This study investigates empirically the presence of unemployment hysteresis in 16 countries which consist Turkey and fifteen EU countries, applying annual unemployment rates covering 1985-2005 periods. Hysteresis is tested by using panel unit root tests, which allow for structural breaks. We test whether unemployment rates are stationary by using first generation, second generation test and panel unit root test based on structural break advanced by Carrion-i Silvestre et al. (2005) as a final point. We find series as a stationary process with structural breaks according to Carrion-i Silvestre et al.(2005) test, while we find series as unit root process with first and second generation panel unit root tests. Thus, according to the Carrion-i Silvestre et al. (2005) test, we find evidence absence of hysteresis in countries analyzed. So, there still exists a unique natural rate of unemployment to which the economy eventually will converge.
 
Publisher English Time Schools & Overseas Education
 
Contributor —
 
Date 2011-03-10
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://ojs.journals.cz/index.php/RJEBI/article/view/188
 
Source Research Journal of Economics, Business and ICT; Vol 1 (2011)
2047-7848
2045-3345
 
Language eng
 
Relation http://ojs.journals.cz/index.php/RJEBI/article/view/188/192
 
Rights Copyright (c) 2011 Meliha Ener, Feyza Arica
https://creativecommons.org/licenses/by/3.0/