RT Journal Article
T1 Unemployment persistence in Europe: evidence from the 27 EU countries
A1 Caporale, Guglielmo Maria
A1 Gil Alana, Luis A.
A1 Trejo, Pablo Vicente
AB This paper investigates unemployment persistence in the 27 EU member states by applying fractional integrationmethods to quarterly data (both seasonally adjusted and unadjusted) from 2000q1 to 2020q4. The obtainedevidence points to high levels of persistence in all cases. With seasonally adjusted data, a small degree of meanreversion is found in the case of Belgium, Luxembourg and Malta, but this evidence disappears under theassumption of weakly correlated disturbances. More cases of mean reversion are found instead when analysingthe unadjusted series. In particular, countries such as Belgium, France, Croatia, Italy, Luxembourg and Maltadisplay orders of integration significantly lower than 1. In addition, significant negative time trends are found inthe case of Bulgaria, Croatia, Malta and Romania, and a positive one for Luxembourg. Finally, the Covid-19pandemic had mixed effects, with (seasonal) persistence increasing in some countries whilst decreasing inothers and not changing in a minority of cases. On the whole, our results support the hysteresis hypothesis for theEuropean economies.
PB Elsevier
SN 2405-8440 (electrónico)
YR 2022
FD 2022
LK https://hdl.handle.net/10272/21674
UL https://hdl.handle.net/10272/21674
LA eng
NO Caporale, G. M., Gil-Alana, L. A., & Trejo, P. V. (2022). Unemployment persistence in Europe: evidence from the 27 EU countries. In Heliyon (Vol. 8, Issue 2, p. e08898). Elsevier BV. https://doi.org/10.1016/j.heliyon.2022.e08898
NO Luis A. Gil-Alana is also grateful for financial support from theMINEIC-AEI-FEDER PID2020-113691RB-I00 project from ‘Ministerio deEconomía, Industria y Competitividad’ (MINEIC), `Agencia Estatal deInvestigaci on' (AEI) Spain and `Fondo Europeo de Desarrollo Regional'(FEDER), and from an internal project of the Universidad Francisco deVitoria.
DS Repositorio Institucional de la Universidad de Huelva
RD 2 jun 2026