Author/Authors :
GÜNAYDIN, Davuthan Namık Kemal Üniversitesi - İktisadi ve İdari Bilimler Fakültesi - ÇEEİ Bölümü, Turkey , ÇETİN, Murat Namık Kemal Üniversitesi - İktisadi ve İdari Bilimler Fakültesi - İktisat Bölümü, Turkey
Title Of Article :
THE MAIN MACROECONOMIC DETERMINANTS OF YOUTH UNEMPLOYMENT: AN EMPIRICAL ANALYSIS
Abstract :
The youth unemployment has been debated for a long time in Turkish economy by theorists and policy makers. In this study the impact of per capita real income, trade openness, inflation and foreign direct investment on youth unemployment is investigated. For this purpose, ARDL bounds testing approach and Granger causality test based on vector error correction model are used. Empirical findings indicate the presence of a long run relationship between the variables. Empirical findings also indicate that the effect of per capita real income, trade openness, inflation and foreign direct investment on youth unemployment is negative and statistically significant. There exists a bi-directional causality between youth unemployment and foreign direct investment in the long run. In addition, a long run causality running from per capita real income, inflation and trade openness to youth unemployment is determined. These results can provide some policy implications related with Turkish economy.
NaturalLanguageKeyword :
Youth unemployment , ARDL bounds testing , Vector error correction model , Granger causality , Turkey
JournalTitle :
Pamukkale University Journal Of Social Sciences Institute
