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112163

Dialectic of the Relationship Between Unemployment and Economic Growth According to Okun's Law in Egypt

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Last updated: 04 Jan 2025

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Abstract

The study focused on the subject of unemployment and economic growth in Egypt, using a set of econometric methods to determine the relationship between the variables of the study and to analyze the appropriateness of okun's law to the Egyptian economy. Statistical results of the unit root test indicate that the time series of the variables under study are stable at their levels. In addition, the application of Co- integration test confirmes that the variables are integrated. Moreover, it tends to be stable in the long run. however, while testing the causality of a Grager, there is a negative long-term causal relationship in one direction, going from the gross domestic product to unemployment. The analysis depends on annual data from the International Financial Statistics (IFS) published by the IMF for the period 1980-2018.The Okun coefficients estimated at -0.78, meaning that a 1% increase in economic growth leads to a decrease in unemployment of 0.78%.

DOI

10.21608/jsst.2020.41638.1114

Keywords

GDP, Unemployment, Okun's law, Co-integration, Egypt

Authors

First Name

رمضان

Last Name

السيد معن

MiddleName

-

Affiliation

قسم الاقتصاد والمالية العامة - کلية التجارة - جامعة طنطا

Email

ramadan7_2003@yahoo.com

City

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Orcid

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Volume

21

Article Issue

العدد الرابع- الجزء الثانی

Related Issue

17118

Issue Date

2020-10-01

Receive Date

2020-09-03

Publish Date

2020-10-01

Page Start

1

Page End

17

Print ISSN

2090-5327

Online ISSN

2682-3543

Link

https://jsst.journals.ekb.eg/article_112163.html

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https://jsst.journals.ekb.eg/service?article_code=112163

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1

Type

المقالة الأصلية

Type Code

1,048

Publication Type

Journal

Publication Title

مجلة البحوث المالية والتجارية

Publication Link

https://jsst.journals.ekb.eg/

MainTitle

Dialectic of the Relationship Between Unemployment and Economic Growth According to Okun's Law in Egypt

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Article

Created At

22 Jan 2023