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Hysteresis in Unemployment: Evidence from Norwegian Counties Author info | Abstract | Publisher info | Download info | Related research | Statistics Kåre Johansen () (Department of Economics, Norwegian University of Science and Technology)
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The paper tests hysteresis effects in unemployment using aggregate and panel data for Norway. While tests using aggregate or county— specific time series do not reject the null of unit root hysteresis, the panel tests firmly reject the null. When a one—time structural break is incorporated, the unit root hypothesis is rejected (or nearly so) in most counties. All results reveal a high degree of unemployment persistence, but the speed of adjustment is much higher when we allow for a change in mean.
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Paper provided by Department of Economics, Norwegian University of Science and Technology in its series Working Paper Series with number
0602.
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Length: 25 pages
Date of creation: Date of revision:
20 Aug 2002Handle: RePEc:nst:samfok:0602Contact details of provider: Postal: 7491 Trondheim Phone: 73 59 19 40 Fax: 73 59 69 54 Email: Web page: http://www.svt.ntnu.no/iso/WP/wp.htm More information through EDIRC
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Keywords: Hysteresis panel unit root tests structural break Find related papers by JEL classification: C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
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Full
references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Mariam Camarero & Josep Lluis Carrion Silvestre & Cecilio Tamarit, 2004.
"Testing for hysteresis in unemployment in OECD countries. New evidence using stationarity panel tests with breaks ,"
Working Papers in Economics
119, Universitat de Barcelona. Espai de Recerca en Economia.
[Downloadable!]
Other versions: Matteo Lanzafame, 2006.
"The Nature of Regional Unemployment in Italy ,"
ERSA conference papers
ersa06p155, European Regional Science Association.
[Downloadable!]
Other versions: Mariam Camarero & Josep Lluís Carrion-i-Silvestre & Cecilio Tamarit, 2004.
"Testing for hysteresis in unemployment in OECD countries. New evidence using stationarity panel tests with breaks† ,"
Economic Working Papers at Centro de Estudios Andaluces
2004/40, Centro de Estudios Andaluces.
[Downloadable!]
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