Nigerian Economic Society
 
Need Help? Call +234 8131213195        Watch Us Live online
Hi Guest,
Home | About Us » | Paper Submission | Signup | Contact Us
       Sunday, February 25, 2018       
UNEMPLOYMENT HYSTERESIS IN NIGERIA: Any Role for Monetary Policy?

UNEMPLOYMENT HYSTERESIS IN NIGERIA: Any Role for Monetary Policy?

 

Abstract: This study investigates hysteresis in unemployment in Nigeria and examines the role that monetary policy plays in the persistence level of unemployment in the country. The technique of analysis is the structural vector autoregression (SVAR), and the annual time series data set used spans 1970-2013. Monetary policy is accommodated within the backward-looking Phillip curve proposed by Friedman (1968) to relate the new forward-looking Phillip curve advanced by Ball (1999, 2009). Series of descriptive statistics are used coupled with unit-root and stationarity tests that suggest the persistence level of unemployment in Nigeria. The unemployment hysteresis is also confirmed within the SVAR framework, going by the effect that the actual unemployment rate has on its equilibrium level. The results from the SVAR models further show that better compensation packages will reduce the spate of unemployment in Nigeria, and thus a need for labour market reform. Also, it was observed that the inflation-targeting objectives of the Central Bank of Nigeria for the period under review have not hampered sustainable employment generation but that the spate of money supply, and consequently the aggregate demand have reduced the level of unemployment, albeit insignificantly. Hence, monetary policy is found to play a non-neutral but insignificant role in the long-run situation. This submission of money non-neutrality is confirmed by the Multivariate Block Exogeneity Wald test.

Price: N500.00 | Add to cart
 

 

 

Login

Email:
Password:
 
Lost password ?
New user? Signup free !
Note: You must signup your email and create a password before you can register as an NES member
 

Latest News

58th Annual Conference of the Nigerian Economic Society

The Executive Council of NES has the pleasure to announce 58th Annual Conference with the theme "Imp...read more


PEP Call for Proposals

The Partnership for Economic Policy (PEP) has launched a new call for project proposals on the theme...read more


2017 Nigerian Economic Society Annual Public Lecture Announcement

The Executive Council of NES has the pleasure to announce it's 2017 Annual Public Lecture with the t...read more


NES OBSERVATIONS ON THE NEW CBN SINGLE FOREIGN EXCHANGE MARKET

The President of the Nigerian Economic Society (NES), Professor Ben Aigbokhan at a symposium on the ...read more


  Email Subscription