6533b7d1fe1ef96bd125c0b6

RESEARCH PRODUCT

Hysteresis vs. natural rate of unemployment: new evidence for OECD countries

Cecilio TamaritMariam Camarero

subject

Economics and EconometricsNatural rate of unemploymentMultivariate statisticsmedia_common.quotation_subjectNull (mathematics)Oecd countriesHysteresis (economics)UnemploymentEconometricsEconomicsUnit rootFinancemedia_commonPanel data

description

Abstract The paper tests hysteresis effects in unemployment using panel data for 19 OECD countries. We apply a sequential procedure based in two multivariate augmented Dickey-Fuller test (ADF)-type panel unit root tests in a SURE framework. We strongly reject the joint null of hysteresis and find that only seven countries present evidence of hysteresis.

yearjournalcountryeditionlanguage
2004-09-01Economics Letters
https://doi.org/10.1016/j.econlet.2004.02.014