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1 – 10 of over 21000Imran Khan and Darshita Fulara Gunwant
The purpose of this paper is to empirically analyze the impact of social inclusion factors and foreign fund inflows on reducing gender-based unemployment in India.
Abstract
Purpose
The purpose of this paper is to empirically analyze the impact of social inclusion factors and foreign fund inflows on reducing gender-based unemployment in India.
Design/methodology/approach
A time series data set for the period of 1991–2021 has been considered, and an autoregressive distributed lag methodology has been applied to measure the short- and long-run impact of social inclusion and foreign fund inflows on reducing gender-based unemployment in India.
Findings
According to the study’s findings, both social inclusion and foreign fund inflows are critical factors for reducing male unemployment. However, in the case of female unemployment, only social inclusion factors play an important role, whereas foreign fund inflows have no role in it.
Originality/value
Analyzing the factors that affect gender-based unemployment has always been a grey area in literature. There are very few studies that capture gender-based unemployment in India, making this study a novice contribution. Second, it examines the relationship between foreign fund inflows, social inclusion and unemployment, which is another novel area of investigation. Finally, this study provides comprehensive and distinct results for both male and female unemployment that can help policymakers devise gender-based unemployment policies.
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There is strong empirical evidence that unemployment rates decrease as the educational level rises. The present article attempts to take explicit account of this when estimating…
Abstract
There is strong empirical evidence that unemployment rates decrease as the educational level rises. The present article attempts to take explicit account of this when estimating educational rates of return. Three models that differ with respect to their degree of simplicity and data requirements are developed herein and applied to the empirical data. The estimates for 14 European countries suggest that standard estimates that do not account for unemployment are substantially downward biased. Differences in unemployment probabilities at different educational levels, and youth unemployment, both appear to be important for a better understanding of the incentive structure behind educational decisions.
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Firouz Fallahi, Hamed Pourtaghi and Gabriel Rodríguez
The paper aims to study the effect of the unemployment rate and its volatility on crime in the USA. It proposes that not only the unemployment rate, but also its volatility affect…
Abstract
Purpose
The paper aims to study the effect of the unemployment rate and its volatility on crime in the USA. It proposes that not only the unemployment rate, but also its volatility affect the crime.
Design/methodology/approach
First, the volatility of the unemployment rate is calculated using ARCH models. Next, using the results from the first stage the ARDL approach to cointegration is used to examine the link between the unemployment rate and its volatility on the crime.
Findings
The cointegrated or long‐run relationships are found only for burglary and motor‐vehicle theft. The results indicate that the unemployment rate has a significant effect on burglary and motor‐vehicle theft only in the short run and the unemployment volatility has a negative effect on motor‐vehicle theft regardless of time span. However, it has a positive effect on burglary in the short run and no effect in the long run.
Originality/value
The effect of unemployment rate on crime is documented in the literature. However, to the best of our knowledge, this is the first paper that emphasizes the importance of unemployment rate volatility on the crime.
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Jaakko Pehkonen, Hector Sala and Pablo F. Salvador
This paper aims to provide an account of the unemployment performance of two Nordic countries during their recent labour market booms and slumps.
Abstract
Purpose
This paper aims to provide an account of the unemployment performance of two Nordic countries during their recent labour market booms and slumps.
Design/methodology/approach
Based on the empirical models of Karanassou et al., we conduct dynamic simulation exercises and explore the determinants of unemployment.
Findings
The analysis yields two main findings. First, the capital stock was the most important determinant of the unemployment trajectory in both countries. This result appears in all periods considered: in the slump of the early 1990s and the boom of the late 1990s, as well as in the stabilisation period of the early 2000s. Second, the role of the foreign sector on the unemployment trajectory was significant in Finland, its quantitative impact being one‐third of the effect for the capital stock in the first and third periods, and half of the latter in the second period.
Originality/value
The results illustrate the importance of non‐standard labour market variables in examining unemployment trajectories. The findings call for a wider than usual perspective in trying to solve the unemployment problem.
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Estimates a three‐equation model to test various economic hypotheses regarding the relationship between unemployment rate and defence spending in 18 OECD countries during the…
Abstract
Estimates a three‐equation model to test various economic hypotheses regarding the relationship between unemployment rate and defence spending in 18 OECD countries during the period 1962‐1988. Reveals that the relationship which exists between unemployment rate and defence spending is not uniform across countries. Defence spending has a favourable impact on unemployment rate in Germany and Australia, whereas in Denmark it worsens the employment situation. In Australia, Germany and Belgium, non‐defence spending and the unemployment rate are causally independent. Defence spending appears to act as a stablization tool in response to changes in the unemployment rate only in the UK. No significant causal relationship between unemployment rate and either type of spending is revealed in Japan, The Netherlands, Italy, Spain, Austria, New Zealand, Sweden, Canada and the USA. Observes a few cases of bi‐directional causality between unemployment rate and defence/non‐defence spending. Gives possible explanations for the observed cross‐country variability in causal relation.
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Karikari Amoa-Gyarteng and Shepherd Dhliwayo
This study clarifies the intricate nature of globalization's impact on unemployment rates in South Africa. Given the heterogeneous views on globalization's effect on economic…
Abstract
Purpose
This study clarifies the intricate nature of globalization's impact on unemployment rates in South Africa. Given the heterogeneous views on globalization's effect on economic development, this study aims to offer a nuanced perspective. Furthermore, it aims to explore the mediating role of entrepreneurial development in shaping the complex relationship between globalization and unemployment.
Design/methodology/approach
The study employs four key indicators to measure entrepreneurial development, globalization and unemployment rates in South Africa. Hierarchical regression is used to evaluate the relationship between globalization and unemployment rates, and how entrepreneurial development mediates this relationship. Additionally, both the Sobel test and bootstrapping analyses were employed to verify and validate the mediating relationship.
Findings
The study demonstrates that globalization constitutes a crucial determinant of (un)employment rates in South Africa. The study shows that entrepreneurial development, specifically in the context of established business ownership, but not total early-stage entrepreneurial activity, exhibits an inverse relationship with unemployment rates. Moreover, it was observed that the positive impact of globalization on entrepreneurial development in South Africa becomes evident as SMEs advance to the established stage.
Research limitations/implications
The study's concentration on South Africa constrains the applicability of the results to other nations.
Practical implications
Based on the findings of this study, it is essential for emerging economies, such as South Africa, to take measures to foster a robust entrepreneurial ecosystem that can aid in the growth and international competitiveness of young SMEs.
Originality/value
To the best of the authors' knowledge, this study represents the first endeavor to analyze the potential impact of entrepreneurial development, as measured by both nascent and mature SMEs, on the correlation between globalization and unemployment.
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Abdallah Abdul-Mumuni, Kwaku Amakye, Abdul-Lateef Abukari and Michael Insaidoo
While several existing panel studies have focused on the linear specifications of the nexus between trade openness and unemployment, nonlinear panel studies on this subject remain…
Abstract
Purpose
While several existing panel studies have focused on the linear specifications of the nexus between trade openness and unemployment, nonlinear panel studies on this subject remain less explored. This paper examines the asymmetric nexus between trade openness and unemployment in 34 selected sub-Saharan Africa (SSA) countries for the period spanning from 1991 to 2020.
Design/methodology/approach
The Pedroni and Westerlund panel cointegration tests were conducted to ascertain a long run relationship among the studied variables, while the panel nonlinear autoregressive distributed lag approach was applied to account for asymmetries.
Findings
The study revealed among other things that trade openness asymmetrically influences unemployment in the selected panel of SSA countries. In the long run, the positive shock in trade openness on unemployment is greater as compared to the negative shock.
Research limitations/implications
The implications of this study include the need to (1) ensure the effective monitoring and supervision of trade flows in the sub-region so that their full benefits are maximized in terms of job creation and (2) ensure that a positive trade balance is maintained in the selected SSA countries.
Originality/value
The positive and negative shocks in trade openness are examined to determine their asymmetric effects on unemployment.
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Olufemi Gbenga Onatunji, Oluwayemisi Kadijat Adeleke and Akintoye Victor Adejumo
This study reinvestigates the validity of the Phillips curve in Nigeria for the period 1980–2020 by considering the asymmetric nexus between unemployment and inflation.
Abstract
Purpose
This study reinvestigates the validity of the Phillips curve in Nigeria for the period 1980–2020 by considering the asymmetric nexus between unemployment and inflation.
Design/methodology/approach
The nonlinear autoregressive distributed lag (NARDL) technique was used to decompose the unemployment variable into two components: tight and loosened labour markets.
Findings
The empirical outcome shows that unemployment has a significant negative effect on inflation when the labour market is tight and a weakly negative and significant effect on inflation when the labour market is loose. The study confirms an asymmetric Phillips curve in Nigeria since the positive (tight) unemployment rate exerts a greater effect on inflation than the negative (loosened) unemployment rate.
Practical implications
The findings of this study have important implications for implementing monetary policy in Nigeria.
Originality/value
To the best of the authors’ knowledge, this is the first study to investigate the existence of a nonlinear Phillip curve in Nigeria.
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During the COVID-19 pandemic, transitory unemployment insurance (UI) policies substantially increased unemployment benefits (UBs) and the number of eligible groups in Russia. The…
Abstract
Purpose
During the COVID-19 pandemic, transitory unemployment insurance (UI) policies substantially increased unemployment benefits (UBs) and the number of eligible groups in Russia. The procedure for registering as unemployed was moved to an online platform. The present paper aims to distinguish the effect of anti-COVID-19 restrictions on unemployment from that of the transitory unemployment insurance policies.
Design/methodology/approach
Using 553,627 approved claims for unemployment benefits from the Russian Public Employment Service (PES) administrative records (June 2019–December 2020), monthly data on the number of individuals registered as unemployed are aggregated in a pseudo panel. A double-difference approach is employed to identify the effects of the social interaction intensity and teleworkability (TW) of the latest occupation on unemployment. The first is associated with a direct effect of anti-COVID-19 restrictions and the latter with the simplified application procedure.
Findings
The face-to-face (F2F) intensity of the latest occupation did not lead to any increase in the number of unemployed persons as could be expected in response to anti-COVID-19 restrictions. Job TW had two opposite effects on unemployment: it decreased individuals' risk of job loss and increased their likelihood of claiming unemployment benefits. Surprisingly, however, in line with the typical response of the Russian labour market to downturns, the latter dominated. The largest response was found among men and individuals with primary education.
Originality/value
This study is the first to attempt to distinguish the effect of anti-COVID-19 restrictions from that of the transitory UI policies on unemployment in Russia.
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Mudaser Ahad Bhat and Mirza Nazrana Beg
This paper documents a robust empirical regularity: higher trade openness is associated with a lower unemployment rate. This paper also examines whether or not the effects of…
Abstract
Purpose
This paper documents a robust empirical regularity: higher trade openness is associated with a lower unemployment rate. This paper also examines whether or not the effects of trade liberalisation depend on countries' income levels. Further, the dynamic causation between trade openness and unemployment is also examined.
Design/methodology/approach
In order to obtain insight into the openness–unemployment nexus, following empirical methods were utilised - static panel models, dynamic panel models and a novel panel Granger causality approach proposed by Juodis et al. (2021).
Findings
Results suggest that openness negatively affects unemployment; the extent to which trade liberalisation affects unemployment depends on the income level of each country. The Juodis, Karavias, and Sarafidis (JKS) test confirmed that the past values of trade openness, inflation, foreign direct investment and gross domestic product per capita contain information that helps to predict unemployment in a more robust manner. To simply put, opening upto trade may eventually become a requirement for creating more job opportunities, but this alone may not be enough. The extent to which nations benefit from trade liberalisation is largely dependent on the overall economic conditions and their capability to move up the income scale.
Originality/value
A major difference between this study and those performed previously is that this study does not only examine the impact of trade openness on unemployment, but also investigates whether the unemployment effect of liberalisation is affected by countries' income levels – an issue that has received little attention in the past. Additionally, the unique panel non-causality approach put forth by Juodis et al. (2021) is used in the first instance to look into the causal link between trade openness and unemployment. This method has advantages in that the method enables capturing Granger-causality in homogeneous or heterogeneous panels amongst multiple variables.
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