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Growth and Jobs in Developing Economies: Trends and Cycles

Author

Listed:
  • Zidong An

    (Renmin University of China)

  • Tayeb Ghazi

    (Policy Center for the New South)

  • Nathalie Gonzalez Prieto

    (University of Maryland College Park)

  • Aomar Ibourk

    (Policy Center for the New South
    Cadi Ayyad University)

Abstract

This paper investigates the relationship between economic growth and job creation in developing economies with a focus on low and lower middle-income countries along two dimensions: growth patterns and short-run correlations. Analysis on growth patterns shows that regime changes are quite common in both economic growth and employment growth, yet they are not synchronized with each other. Okun’s Law—the short-run relationship between output and labor market—holds in half of the countries in our sample and shows considerable cross-country heterogeneity.

Suggested Citation

  • Zidong An & Tayeb Ghazi & Nathalie Gonzalez Prieto & Aomar Ibourk, 2019. "Growth and Jobs in Developing Economies: Trends and Cycles," Open Economies Review, Springer, vol. 30(5), pages 875-893, November.
    • Handle: RePEc:kap:openec:v:30:y:2019:i:5:d:10.1007_s11079-019-09551-9
    DOI: 10.1007/s11079-019-09551-9
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    Cited by:

    1. Woo, Jaejoon, 2023. "Revisiting Okun's law in South Korea: Asymmetries, crises, and structural changes," The Journal of Economic Asymmetries, Elsevier, vol. 27(C).
    2. Željko Kuèiš & Irena Paliæ, 2021. "Empirical analysis of the elasticity of employment to output gap in the republic of croatia," Interdisciplinary Description of Complex Systems - scientific journal, Croatian Interdisciplinary Society Provider Homepage: http://indecs.eu, vol. 19(1), pages 94-105.
    3. Inkyo Cheong & Valijon Turakulov, 2022. "How Central Asia to Escape from trade isolation?: Policy targeted scenarios by CGE modelling," The World Economy, Wiley Blackwell, vol. 45(8), pages 2622-2648, August.
    4. Zakaria El Faiz & Said Tounsi, 2019. "Les Fluctuations Cycliques De La Production Et Du Chômage Au Maroc : Une Approche Sectorielle De La Loi D’Okun," Working Papers 1336, Economic Research Forum, revised 21 Aug 2019.
    5. Junankar, Pramod N. (Raja), 2019. "Monetary Policy, Growth and Employment in Developing Areas: A Review of the Literature," IZA Discussion Papers 12197, Institute of Labor Economics (IZA).
    6. Jalan, Akanksha & Matkovskyy, Roman & Urquhart, Andrew & Yarovaya, Larisa, 2023. "The role of interpersonal trust in cryptocurrency adoption," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 83(C).
    7. Željko Kuèiš & Irena Paliæ, 2021. "Empirical analysis of the elasticity of employment to output gap in the republic of croatia," Interdisciplinary Description of Complex Systems - scientific journal, Croatian Interdisciplinary Society Provider Homepage: http://indecs.eu, vol. 19(1), pages 94-105.

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