Unemployment dynamics in the United Kingdom: a quarter-millennium perspective

YÜCEL A. G., Nazlioglu S.

ECONOMICS LETTERS, cilt.254, 2025 (SSCI, Scopus) identifier identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 254
  • Basım Tarihi: 2025
  • Doi Numarası: 10.1016/j.econlet.2025.112468
  • Dergi Adı: ECONOMICS LETTERS
  • Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI), Scopus, International Bibliography of Social Sciences, Periodicals Index Online, ABI/INFORM, Business Source Elite, Business Source Premier, EconLit, Public Affairs Index, zbMATH
  • Anahtar Kelimeler: Unemployment, Hysteresis, Non-normal distributions, Smooth breaks, Non-linearity, Quantile unit root
  • Erciyes Üniversitesi Adresli: Evet

Özet

This letter examines the persistence of unemployment in the United Kingdom (UK) using over a quarter of a millennium of data, spanning from 1760 to 2023. The results from the quantile unit root approach-accounting for non-normal distributions, structural changes, and non-linearity-reveal asymmetric unemployment dynamics. Shocks to unemployment appear transitory in low-unemployment regimes but are persistent in highunemployment regimes. The findings highlight the importance of accounting for asymmetries in labor market adjustments.