Lasting Impact of the Crisis on Unemployment in Turkey: The Global Crisis Period

In this paper, we have done hysterical analysis to determine whether the crisis in our country has permanent effects on unemployment. Here, first Harvey, Leybourne and Xiao (2008) linearity test is conducted for the unempoloyment series. Following this test, the Zivot-Andrews (1992) unit root test and the Bai-Perron (1998) multiple structural changes test were used as lineer methods. Also as nonlinear method Kapetanios, Shin and Snell (2003) and Kruse (2011) unit root tests were used. According to all test findings, the global crisis has a hysterical effect on unemployment rates and unemployment has not returned to its pre-crisis level.