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Unemployment and labor force participation in Italy

Author

Listed:
  • Francesco Nemore
  • Rocco Caferra
  • Andrea Morone

Abstract

Purpose - Our main purpose is to test the unemployment invariance hypothesis in Italy. Design/methodology/approach - This paper provides an empirical investigation of the unemployment and labor force participation in Italy. Findings - Cointegration analysis results strongly suggest a clear long-run relationship between unemployment and labor force participation revealing a persistent and general added worker effect. Originality/value - Our results seem to confute the unemployment invariance hypothesis.

Suggested Citation

  • Francesco Nemore & Rocco Caferra & Andrea Morone, 2021. "Unemployment and labor force participation in Italy," International Journal of Manpower, Emerald Group Publishing Limited, vol. 42(8), pages 1440-1449, May.
    • Handle: RePEc:eme:ijmpps:ijm-07-2020-0343
    DOI: 10.1108/IJM-07-2020-0343
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    More about this item

    Keywords

    Cointegration; Added worker; Unemployment invariance hypothesis; E24;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity

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