Skalin, Joakim; Teräsvirta, Timo - Economics Institute for Research (SIR), … - 1998
The paper discusses a simple univariate nonlinear parametric time-series model for unemployment rates, focusing on the … asymmetry observed in many OECD unemployment rate series. The model is based on a standard logistic smooth transition … autoregressive (LSTAR) model for the first difference of unemployment, but it also includes a lagged level term. This model allows …