unemployment, several European economies display highly persistent unemployment dynamics. The theory of hysteresis challenges this … strong empirical evidence of unemployment hysteresis in advanced economies since the 1990s. Relying on an identification … unemployment rates to pre-shock levels. …

findings and confirms hysteresis in all unemployment rates except for Asian economies/countries of Thailand and the Philippines. …The focus of our study is on determining whether unemployment rates in 8 New Industrialized Economies conform to the … natural rate hypothesis or the hysteresis hypothesis. To this end, we employ a variety of unit of unit root testing procedures …

is argued that in a cointegration framework it is reasonable to define hysteresis as the absence of weak exogeneity of …The view that high unemployment in West Germany and other European countries is caused by a path dependence effect - or … hysteresis effect - is quite popular among economists. However, because of an identification problem, much of the empirical …