Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis
This paper investigates the existence of long-run relationship between unemployment and several key macroeconomic variables in Malaysia, Singapore, and the Philippines. The Johansen–Juselius cointegration method confirms the existence of a stationary long-run cointegration relationship between unemp...
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| Format: | Article |
| Language: | English |
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World Scientific Publishing
2011
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| Online Access: | http://psasir.upm.edu.my/id/eprint/22843/ http://psasir.upm.edu.my/id/eprint/22843/1/Unemployment%20and%20speed%20of%20adjustment%20in%20ASEAN.pdf |
| _version_ | 1848844595748667392 |
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| author | Subramaniam, Thirunaukarasu Baharumshah, Ahmad Zubaidi |
| author_facet | Subramaniam, Thirunaukarasu Baharumshah, Ahmad Zubaidi |
| author_sort | Subramaniam, Thirunaukarasu |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This paper investigates the existence of long-run relationship between unemployment and several key macroeconomic variables in Malaysia, Singapore, and the Philippines. The Johansen–Juselius cointegration method confirms the existence of a stationary long-run cointegration relationship between unemployment and its determinants in all three countries. Exports and foreign direct investment are important determinants of unemployment in Malaysia. In the Philippines, government spending and exports are inversely related to unemployment. In Singapore, only exports appeared as a significant factor in determining unemployment. The results show that the speed of adjustment following a shock is more rapid in Singapore compared to the other two ASEAN countries. |
| first_indexed | 2025-11-15T08:33:25Z |
| format | Article |
| id | upm-22843 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T08:33:25Z |
| publishDate | 2011 |
| publisher | World Scientific Publishing |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-228432016-02-18T02:54:49Z http://psasir.upm.edu.my/id/eprint/22843/ Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis Subramaniam, Thirunaukarasu Baharumshah, Ahmad Zubaidi This paper investigates the existence of long-run relationship between unemployment and several key macroeconomic variables in Malaysia, Singapore, and the Philippines. The Johansen–Juselius cointegration method confirms the existence of a stationary long-run cointegration relationship between unemployment and its determinants in all three countries. Exports and foreign direct investment are important determinants of unemployment in Malaysia. In the Philippines, government spending and exports are inversely related to unemployment. In Singapore, only exports appeared as a significant factor in determining unemployment. The results show that the speed of adjustment following a shock is more rapid in Singapore compared to the other two ASEAN countries. World Scientific Publishing 2011-08 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/22843/1/Unemployment%20and%20speed%20of%20adjustment%20in%20ASEAN.pdf Subramaniam, Thirunaukarasu and Baharumshah, Ahmad Zubaidi (2011) Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis. The Singapore Economic Review, 56 (3). pp. 327-347. ISSN 0217-5908; ESSN: 1793-6837 http://www.worldscientific.com/doi/abs/10.1142/S0217590811004353 10.1142/S0217590811004353 |
| spellingShingle | Subramaniam, Thirunaukarasu Baharumshah, Ahmad Zubaidi Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title | Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title_full | Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title_fullStr | Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title_full_unstemmed | Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title_short | Unemployment and speed of adjustment in ASEAN-3 economies: a cointegration analysis |
| title_sort | unemployment and speed of adjustment in asean-3 economies: a cointegration analysis |
| url | http://psasir.upm.edu.my/id/eprint/22843/ http://psasir.upm.edu.my/id/eprint/22843/ http://psasir.upm.edu.my/id/eprint/22843/ http://psasir.upm.edu.my/id/eprint/22843/1/Unemployment%20and%20speed%20of%20adjustment%20in%20ASEAN.pdf |