• Journal of Labour Economics
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• v.35 no.1
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• pp.89-109
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• 2012

This paper evaluate the robustness of the Okun relationship based on Korean data for 1979~2008. For estimating a natural unemployment rate, this study uses time series econometric methodologies. This paper finds some interesting results; first of all, a bench mark estimates of Okun's ${\beta}$ range from 2 to 4 with different methodologies. This is a little bit higher scale than that of Lee(2000)'s results, which estimated the Okun's coefficient on the advanced countries' 1955~1996. Secondly, we test an asymmetric behavior of unemployment rate on business cycle. But the results are mixed. Finally we cannot find the evidence of structural break for the periods of 1979~80 and 1997~98 crises.

• Asian Journal of Business Environment
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• v.14 no.2
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• pp.19-30
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• 2024

Purpose: This research article investigates the intricate relationship between economic growth and employment in the Korean agri-food industry. Research design, data and methodology: Drawing on Okun's law, which proposes a negative correlation between economic growth and unemployment, the study explores the applicability of this law to different sectors. By focusing on the agri-food industry, the study examines the impact of economic growth on both full-time and temporary employment. Results: The findings highlight the industry's role as a buffer, absorbing workers from other sectors, particularly manufacturing. Moreover, the study reveals that temporary employment is more sensitive to economic growth fluctuations compared to full-time employment. Conclusions: The research emphasizes the importance of implementing employment programs that support transitioning workers in the agri-food industry, facilitating knowledge and skill transfer to ensure sustained employment. Furthermore, it recommends government and company support for temporary employment during buffering periods to ensure safe job transitions. This study provides valuable evidence to understand the nuanced relationship between economic growth and employment in the Korean agri-food industry.