Unemployment persistence: the case of Sweden
An unobserved components time-series model is used to examine the persistence in Swedish unemployment. Three sources of unemployment persistence are identified: natural rate shocks; hysteresis; and persistent cycles. Hysteresis effects are modelled by allowing cyclical unemployment to have a lagged effect on the natural rate. The evidence suggests that the course of unemployment in Sweden has mainly been determined by natural rate shocks. This is especially the case for the large increase during the early 1990s, but also for the smaller changes between 1970 and the late 1980s. Hysteresis effects are also present but they are less important because of the relatively small cyclical changes.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 5 (1998)
Issue (Month): 1 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/RAEL20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/RAEL20|