مجاميع المعرفة
Volume 7, Numéro 1, Pages 792-806
2021-04-25

Study Of The Relationship Between Inflation And Unemployment Rates In North African Countries (algeria, Morocco And Tunisia ) During The Period 1991-2017

Authors : Sehli Roqiya .

Abstract

This study aims to show the relation between the inflation rate and unemployement rate in North African countries: Algeria, Tunisia, and Morocoo, depending on the Panel Data Modeling. This relation was estimated by the three models : the Pooled model, , Fixed-impact models and random-impact models. The study found a negative effect of the unemployment rate on the inflation rate; according to the country's fixed-impact model as the 1% increase in the unemployment rate would lead to a decrease in the inflation rate by 0.45%. In addition, there is an adverse effect on the unemployment rate at the level of significance of 5% on the three countries, with an estimated ratio of 28.51%, and the fixed impact does not vary from country to country.

Keywords

Inflation-unemployment, Panel Data Models, Algerian economy, Tunisian economy, Moroccan economy.