2020
DOI: 10.2139/ssrn.3541449
|View full text |Cite
|
Sign up to set email alerts
|

Sectoral Okun's Law and Cross-Country Cyclical Differences

Help me understand this report

Search citation statements

Order By: Relevance

Paper Sections

Select...
2
1
1
1

Citation Types

0
6
1

Year Published

2022
2022
2022
2022

Publication Types

Select...
3

Relationship

0
3

Authors

Journals

citations
Cited by 3 publications
(7 citation statements)
references
References 20 publications
0
6
1
Order By: Relevance
“…According to Okun's law, economic growth should lead to a decrease in unemployment and an increase in employment. Studies, depending on the research aims, prefer to use the gap model (Ball et al 2017;Butkus and Seputiene 2019;Louail and Riache 2019;Duran 2022) or a first differences model (Blázquez-Fernández et al 2018;Goto and Bürgi 2021) for estimation of economic growth impact on unemployment. However, research on the output-employment relationship (Slimane 2015;Ali et al 2018;Thuku et al 2019;Mkhize 2019) usually follow the methodology represented by Kapsos (2006) and applies a loglinear specification to estimate the output-employment elasticities.…”
Section: Methodsmentioning
confidence: 99%
“…According to Okun's law, economic growth should lead to a decrease in unemployment and an increase in employment. Studies, depending on the research aims, prefer to use the gap model (Ball et al 2017;Butkus and Seputiene 2019;Louail and Riache 2019;Duran 2022) or a first differences model (Blázquez-Fernández et al 2018;Goto and Bürgi 2021) for estimation of economic growth impact on unemployment. However, research on the output-employment relationship (Slimane 2015;Ali et al 2018;Thuku et al 2019;Mkhize 2019) usually follow the methodology represented by Kapsos (2006) and applies a loglinear specification to estimate the output-employment elasticities.…”
Section: Methodsmentioning
confidence: 99%
“…Estimating Okun's law-type relationships at the sectoral level provides important insights given that labor intensive sectors have been hit particularly hard by the pandemic. More broadly, there could also be factors influencing sectors to behave differently over economic cycles, such as differences in production functions, skill composition, institutional factors, and policy support (Goto and Bürgi 2021). Thus, by allowing Okun's relationships to vary across sectors, the analysis illustrates how adjustments in aggregate labor market outcomes across countries would depend not only on the varying sectoral composition but also on the heterogeneity in these sectoral relationships.…”
Section: Understanding Sectoral Dynamics and Contributions To Aggrega...mentioning
confidence: 99%
“…None of the studies mentioned above tests the validity of Okun’s law at the sectoral level, although some ascertain the validity of Okun’s law, taking into consideration unemployment by age, education and gender (Butkus et al , 2020). In recent times, attention has been directed to investigating the validity of Okun’s law at the sectoral level (Gumata and Ndou, 2019; Goto and Bürgi, 2021). Gumata and Ndou (2019) explore Okun’s law validity at the sectoral level in South Africa.…”
Section: Literature Reviewmentioning
confidence: 99%
“…One area that is sparsely researched but currently getting attention from researchers is the examination of Okun’s law at the sectoral level (Apap and Gravino, 2017; Gumata and Ndou, 2019; Goto and Bürgi, 2021). Gumata and Ndou (2019) examined the sensitivity of employment to output in South Africa using a descriptive statistic approach and a simple least square regression estimation method.…”
Section: Introductionmentioning
confidence: 99%
See 1 more Smart Citation