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Does Okun's law suffer from COVID-19?Evidence from Europe and the US

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  • Jan Russnak
  • Georg Stadtmann
  • Lilli Zimmermann

Abstract

We analyse the effect of COVID-19 on the Okun's law relationship for several EU countries and the US. Results are based on regressions and a systematic DF-Beta analysis. Our results indicate that the year 2020 is an outlier in the Okun relationship. However, the direction of change is different in the European countries compared to the US.

Suggested Citation

  • Jan Russnak & Georg Stadtmann & Lilli Zimmermann, 2023. "Does Okun's law suffer from COVID-19?Evidence from Europe and the US," Economics and Business Letters, Oviedo University Press, vol. 12(2), pages 165-171.
    • Handle: RePEc:ove:journl:aid:19006
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    File URL: https://reunido.uniovi.es/index.php/EBL/article/view/19006
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    References listed on IDEAS

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    1. Freeman, Donald G, 2001. "Panel Tests of Okun's Law for Ten Industrial Countries," Economic Inquiry, Western Economic Association International, vol. 39(4), pages 511-523, October.
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