Hysteresis of Gender Inequality in the Duration of Unemployment: Evidence from the European Union, Spain and Switzerland

Abstract:

The paper examines hysteresis of gender inequality in durations of unemployment. Spain, Switzerland and the European Union were compared and we found out that women tend to stay longer in unemployment than men, which causes higher inequality with rising durations of unemployment in Spain and the European Union, while in Switzerland gender inequality didn’t exist. Analysed series were computed with our new method of gender inequality calculation and were tested for hysteresis with linear univariate unit root tests, both without structural break and with structural break. Cross dependence was tested with Pesaran CD test and hysteresis in full panel was tested with IPS, LLC and Moon Perron test. Stationarity was proven in all series of Switzerland, while some series of Spain and the European Union were non-stationary, meaning that gender inequality there depended on time.