Hysteresis in Unemployment for G-7 Countries: Threshold Unit Root Test
AbstractIn this empirical study, we apply the threshold unit root test proposed by Caner and Hansen (2001) to re-examine the hysteresis hypothesis in unemployment for G-7 countries over the period 1992M1 to 2008M9. The hysteresis in unemployment is confirmed for three countries, namely France, Germany and Italy when Caner and Hansen’s (2001) threshold unit root test is conducted.
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Bibliographic InfoArticle provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.
Volume (Year): (2011)
Issue (Month): 4 (December)
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hysteresis in unemployment; G-7 countries; Threshold Unit Root Test;
Find related papers by JEL classification:
- C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models
- E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
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