using a SVAR model by inspecting how unemployment responds to the state of the economy. We show that deviations from Okun …

with a SVAR model by inspecting how unemployment responds to the state of the economy. We show that deviations from Okun …

in German unemployment is fully explained by hysteresis. The Great Recession was well absorbed because both hysteresis …We construct a new Markov-switching unobserved components framework for the analysis of hysteresis effects. Our model … effects and structural unemployment were substantially reduced after institutional reforms. In contrast, U.S. unemployment did …

sharply in recessions but decline gradually in booms. The frequency, severity, and persistence of unemployment crises in the …A search and matching model, when calibrated to the mean and volatility of unemployment in the postwar sample, can … potentially explain the unemployment crisis in the Great Depression. The limited responses of wages from credible bargaining to …

, some of which date back to 1890. The frequency, persistence, and severity of the unemployment crises in the model are … unemployment rates, is a good start to understanding the unemployment crisis in the Great Depression. Drawing from rarely used data … sources, this paper compiles historical monthly time series of U.S. unemployment rates, vacancy rates, and labor productivity …

This paper studies the dynamics of unemployment (u) and its natural rate (u*), with u* measured by real-time estimates … for 29 countries from the OECD. We find strong evidence of hysteresis: an innovation in u causes u* to change in the same …

case of female unemployment and the degree of persistence is higher in the cases of female and youth unemployment series …In this paper we have examined the unemployment rate series in Turkey by using long memory models and in particular … employing fractionally integrated techniques. Our results suggest that unemployment in Turkey is highly persistent, with orders …

In this paper, we identify demand shocks that can have a permanent effect on output through hysteresis effects. We call … employment and investment, although output per worker is largely unaffected. We find strong evidence that hysteresis transmits … through a rise in long-term unemployment and a decline in labor force participation and disproportionately affects the least …

We analyse the determinants of unemployment persistence in four OECDcountries byestimating a structural Bayesian VAR … with an informative priorbased on an insiders/outsiders model. We explicitly insert unemployment ben-efits and labour taxes … so that our identification is not affected by the Faust andLeeper (1997) critique. We find widespread hysteresis: demand …