Abstract
In this research, the dynamic effect of globalization on unemployment rate in Iran is investigated during the period 1971 to 2006 using Johansen-Juselius co-integration test. Thus, the trade intensity index (ratio of total exports and imports to GDP) as a measure of globalization have used. Also in this model, gross domestic product, the consumer price index as well as other variables affecting the unemployment rate have considered. Findings show that the globalization has a significant and negative effect on unemployment rate. The value of error correction coefficient is equal to -0.46 implying that around 95% of the unemployment rate adjustment occurs after two years.
Highlights
Globalization is a process of socio-economic integration across the globe and is one of the most hotly-debated topics in international economics
This percentage reaches 70% after nine time periods. It seems that the GDP has a greater impact, compared to other variables, on the unemployment rate
We examine the dynamic effect of globalization on unemployment rate in Iran using annual time-series data for the 1971-2006
Summary
Globalization is a process of socio-economic integration across the globe and is one of the most hotly-debated topics in international economics. It is a progression by which events, decisions and activities in one part of the world have significant consequences on other parts of the globe. Globalization has both benefits and costs and has supporters and opponents. Mandle (2003) has discussed at length the benefits and costs of globalization He attacks the anti-globalization movement and refutes the false notions associated with major criticism of globalization.
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
