On the Dynamics of Unemployment in a Developing Economy: Colombia

Borradores de Economia
Número: 
208
Publicado: 
Clasificación JEL: 
C32, J31, J64
Palabras clave: 
Unemployment, wage disequilibrium, Cointegration, non-linearities

Lo más reciente

Andrés Nicolás Herrera-Rojas, David Camilo López-Valenzuela, Juan José Ospina-Tejeiro, Jesús Antonio Bejarano-Rojas
Jaime Alfredo Bonet-Moron, Yuri Carolina Reina-Aranza, Adriana Ortega, Ana Rosa Polanco

This paper estimates an asymmetric error correction model to analyse the dynamic behaviour of the Colombian unemployment rate. We find evidence that wages above their long-run equilibrium level do increase unemployment, but wages below this level do not r