Detalle Publicación

The asymmetric behaviour of spanish unemployment persistence

Autores: Caporale, G. M. (Autor de correspondencia); Gil Alaña, Luis Alberiko
Título de la revista: ECONOMICS BULLETIN
ISSN: 1545-2921
Volumen: 38
Número: 1
Páginas: 98 - 104
Fecha de publicación: 2018
One of the key features of unemployment rate is its persistence, normally described as hysteresis. This note applies fractional integration techniques to show that Spanish unemployment is highly persistent and exhibits asymmetric behaviour, specifically its degree of persistence is higher during recessions (when unemployment is going up) compared to expansions (when it is going down). Further work should investigate whether this is a stylised fact also in other countries exhibiting hysteresis.