Het einde van de wet van Okun | Amsterdam University Press Journals Online
Volume 27, Issue 2
  • ISSN: 0169-2216
  • E-ISSN: 2468-9424


The end of Okun’s law

The end of Okun’s law

The development of unemployment was surprisingly moderate in the Netherlands during the financial crisis. According to the original version of Okun’s law the economy needs an extra 3 percent growth for unemployment to come down with 1 percent. The increase in unemployment during the present crisis was much less than Okun’s law would have predicted. Changes in the growth rate do not translate into the same amount of unemployment as before, signaling that the demand and supply side of the labour market behave differently during this economic downturn.


Article metrics loading...

Loading full text...

Full text loading...

This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error