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Hysteresis in unemployment: empirical evidence from Taiwan's region data based on panel unit root tests

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  • Tsangyao Chang
  • Ming Jing Yang
  • Hui-Chin Liao
  • Chia-Hao Lee

Abstract

In this study, we test the hysteresis hypothesis in unemployment for Taiwan's 21 regional data sets using the Levin et al. (2002), Im et al. (2003) and Taylor and Sarno (1998) panel-based unit root tests for the June 1993 to September 2001 period. The results from all three tests provide evidence that based on Taiwan's regional unemployment data the hysteresis hypothesis can justifiably be rejected.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 39 (2007)
Issue (Month): 10 ()
Pages: 1335-1340

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Handle: RePEc:taf:applec:v:39:y:2007:i:10:p:1335-1340

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Cited by:
  1. Jean françois Hoarau & Claude Lopez & Michel Paul, 2010. "Short Note on the Unemployment Rate of the “French overseas regions”," Economics Bulletin, AccessEcon, vol. 30(3), pages 2321-2329.
  2. Fosten, Jack & Ghoshray, Atanu, 2011. "Dynamic persistence in the unemployment rate of OECD countries," Economic Modelling, Elsevier, vol. 28(3), pages 948-954, May.
  3. Giray GOZGOR, 2013. "Unemployment Persistence and Inflation Convergence: Evidence from Regions of Turkey," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 13(1), pages 55-64.

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