Do large recessions reduce output permanently?

Mehdi Hosseinkouchack () and Maik Wolters

Economics Letters, 2013, vol. 121, issue 3, 516-519

Abstract: We apply a recent quantile autoregression unit root test to US GDP. The test takes into account that the transmission of a shock might depend on the sign and the size of the shock. We find that positive and negative shocks including large recessionary shocks like the 2008/2009 crisis have permanent effects on output.

Keywords: Unit root tests; Quantile autoregression; GDP; Recessions; Asymmetries (search for similar items in EconPapers)
JEL-codes: C22 E32 O40 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (27)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S016517651300459X
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Do large recessions reduce output permanently? (2013)
Working Paper: Do large recessions reduce output permanently? (2012)
Working Paper: Do large recessions reduce output permanently? (2012)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:121:y:2013:i:3:p:516-519

DOI: 10.1016/j.econlet.2013.10.012

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().