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Short Note on the Unemployment Rate of the French Overseas Regions

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Author Info
Jean-François HOARAU ()
Claude Lopez ()
Michel PAUL ()

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Abstract

This article analyzes the hysteresis hypothesis in the unemployment rates of the four “French overseas regions” (Guadeloupe, Martinique, Guyana, Reunion) [FORs] over the period 1993-2008. We use standard univariate and panel unit root tests, among them Choi(2006) and Lopez (2009) that account for cross-sectional dependence and have improved performance when the number of countries and the time dimension of the data are limited. Our results cannot reject the null hypothesis of a unit root and so find evidence supporting hysteresis in the unemployment rates for the FORs.

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Publisher Info
Paper provided by University of Cincinnati, Department of Economics in its series University of Cincinnati, Economics Working Papers Series with number 2009-3.

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Date of creation: 2009
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Handle: RePEc:cin:ucecwp:2009-3

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This page was last updated on 2009-11-26.

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