a comparative study on the causes of jobless recoveries following major recessions

Abstract

The research focus of this paper is to shed light on the connection between changes in the amount of unemployment and variations in the growth of an economy. It will investigate one of the most omnipresent laws in modern macroeconomics, Okun’s law. The thesis will also discuss, the robustness of Okun’s law and the emergence of Jobless Recoveries. There will be a comparison between jobless recoveries in the US in different recession periods as well as a comparison of the US and the EU after the Great Recession.