On the dynamics of unemployment in a developing economy: Colombia
This paper estimates an asymmetric error correction model to analyse the dynamic behaviour of the Colombian unemployment rate. It is found that wages above their long-run equilibrium level do increase unemployment, but wages below this level do not reduce it. This finding provides evidence of the ex...
- Autores:
- Tipo de recurso:
- Fecha de publicación:
- 2003
- Institución:
- Universidad del Rosario
- Repositorio:
- Repositorio EdocUR - U. Rosario
- Idioma:
- eng
- OAI Identifier:
- oai:repository.urosario.edu.co:10336/22611
- Acceso en línea:
- https://doi.org/10.1080/1350485032000162811
https://repository.urosario.edu.co/handle/10336/22611
- Palabra clave:
- Error correction
Hysteresis
Unemployment
Wage determination
Colombia
South america
- Rights
- License
- Abierto (Texto Completo)
| Summary: | This paper estimates an asymmetric error correction model to analyse the dynamic behaviour of the Colombian unemployment rate. It is found that wages above their long-run equilibrium level do increase unemployment, but wages below this level do not reduce it. This finding provides evidence of the existence of hysteresis in the Colombian unemployment rate. |
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