IDEAS home Printed from https://ideas.repec.org/a/ris/ecoint/0055.html
   My bibliography  Save this article

Estimation of the time-varying Nairu for three Eu countries and policy implications

Author

Listed:
  • Hsing, Yu

    (Department of General Business, Southeastern Louisiana University,)

Abstract

Extending Ball and Mankiw (2002) and applying the Hodrick-Prescott filter (1997), this paper estimates the time-varying NAIRU for France, Germany, and Italy. Estimated slopes vary from -0.404 for France to -0.647 for Italy. NAIRUs for France and Germany have been on the rise in recent years whereas NAIRUs for Italy with the smoothing parameter of 100 have declined in recent years. In 2005, Germany had the highest NAIRU whereas Italy had the lowest NAIRU. Because actual unemployment rates in France and Italy were lower than estimated NAIRUs and because the actual unemployment rate in Germany was higher than the estimated NAIRU, different macroeconomic policies may need to be pursued to deal with different economic conditions.

Suggested Citation

  • Hsing, Yu, 2007. "Estimation of the time-varying Nairu for three Eu countries and policy implications," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 60(3), pages 333-342.
    • Handle: RePEc:ris:ecoint:0055
    as

    Download full text from publisher

    File URL: http://www.iei1946.it/RePEc/ccg/HSING%20333_342.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Phillips curve; time-varying NAIRU; Hodrick-Prescott filter;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:ecoint:0055. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Angela Procopio (email available below). General contact details of provider: https://edirc.repec.org/data/cacogit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.