Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/53787 
Year of Publication: 
2010
Series/Report no.: 
Bank of Canada Working Paper No. 2010-7
Publisher: 
Bank of Canada, Ottawa
Abstract: 
This article investigates the stability of Okun's law for Canada and the United States using a time varying parameter approach. Time variation is modeled as driftless random walks and is estimated using the median unbiased estimator approach developed by Stock and Watson (1998). Okun's law exhibits structural instability in both countries, with the sensitivity of the unemployment rate to movements in output growth increasing recently over time in both Canada and the United States.
Subjects: 
Business fluctuations and cycles
Labour markets
JEL: 
E24
J00
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size
349.09 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.