IDEAS home Printed from https://ideas.repec.org/a/spr/eaiere/v21y2024i2d10.1007_s40844-024-00280-4.html
   My bibliography  Save this article

Okun’s law and anelastic relaxation in advanced and developing economies

Author

Listed:
  • Raymond J. Hawkins

    (University of California
    University of Arizona)

Abstract

We show that the anelastic form of Okun’s law describes the output-unemployment relationship in a large number of advanced and developing counties well, and find two novel forms of this relationship: a Voigt-form of Okun’s law as well as a purely dynamical form of Okun’s law with no long-term output-unemployment tradeoff. We also find that the time-dependence in the anelastic form of Okun’s law reconciles the conflicting observations of general linearity and occasional nonlinearity by generalizing the output-unemployment relationship from a simple line to an ellipse known as an Okun loop.

Suggested Citation

  • Raymond J. Hawkins, 2024. "Okun’s law and anelastic relaxation in advanced and developing economies," Evolutionary and Institutional Economics Review, Springer, vol. 21(2), pages 261-276, September.
  • Handle: RePEc:spr:eaiere:v:21:y:2024:i:2:d:10.1007_s40844-024-00280-4
    DOI: 10.1007/s40844-024-00280-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40844-024-00280-4
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s40844-024-00280-4?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    Unemployment; Okun’s law; Anelasticity; Okun loops; Developing economies;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles

    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:spr:eaiere:v:21:y:2024:i:2:d:10.1007_s40844-024-00280-4. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.