Reconsidering the impact of government expenditures on unemployment rate: the Turkish experience (1980–2019)

Nuri Çolakoğlu ()
Additional contact information
Nuri Çolakoğlu: Eastern Mediterranean University

Humanities and Social Sciences Communications, 2025, vol. 12, issue 1, 1-10

Abstract: Abstract This study uses a novel dual adjustment approach to examine the impact of government expenditure on unemployment in Turkey for the 1980–2019 period. The dual adjustment approach is a powerful method when cointegration is lacking, as is the case in this study. Furthermore, the dual adjustment approach enables the analysis of the double dynamics of long-term and cyclical unemployment. Another contribution of this study is that it examines the distinctive roles of various forms of government expenditure on unemployment rates, such as current, investment. and transfer expenditure. Overall, the results lend empirical support to the Abrams curve hypothesis and Keynesian view. The distinguishing finding of this study is that, by considering the different forms of government expenditure, different results, and hence different policy implications can be derived.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1057/s41599-025-06010-4 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
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:pal:palcom:v:12:y:2025:i:1:d:10.1057_s41599-025-06010-4

Ordering information: This journal article can be ordered from
https://www.nature.com/palcomms/about

DOI: 10.1057/s41599-025-06010-4

Access Statistics for this article

More articles in Humanities and Social Sciences Communications from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().