IDEAS home Printed from https://ideas.repec.org/a/sae/emeeco/v15y2023i3p354-384.html
   My bibliography  Save this article

The Effect of Financial Development on Unemployment in Emerging Market Countries

Author

Listed:
  • Isiaka Akande Raifu
  • Joshua Adeyemi Afolabi

Abstract

This study examined the effect of financial development on unemployment in 19 emerging market countries, considering their age groups and gender dichotomy. The data covers the period from 1991–2019. Pooled Ordinary Least Square (OLS), Dynamic OLS, and quantile regression via moments were employed as the estimation methods. Robustness was tested with Fully Modified OLS and Canonical Cointegration Regression (CCR) estimation methods. Our results show that financial development has a conditional mean reducing effect on unemployment and a reducing effect on the distribution of unemployment. However, the reducing effect of financial development on the distribution of unemployment varies across the working-age population and youths. Thus, there is a need to formulate and implement a long-term financial policy to ensure economic growth and guarantee employment for the working-age population and the youths irrespective of gender.

Suggested Citation

  • Isiaka Akande Raifu & Joshua Adeyemi Afolabi, 2023. "The Effect of Financial Development on Unemployment in Emerging Market Countries," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 15(3), pages 354-384, September.
    • Handle: RePEc:sae:emeeco:v:15:y:2023:i:3:p:354-384
    DOI: 10.1177/09749101221116715
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/09749101221116715
    Download Restriction: no
    File URL: https://libkey.io/10.1177/09749101221116715?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    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:sae:emeeco:v:15:y:2023:i:3:p:354-384. 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: SAGE Publications (email available below). General contact details of provider: http://www.emergingmarketsforum.org/ .

    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.