TY - RPRT AU - Tansel, Aysit AU - Ozdemir, Zeynel Abidin AU - Aksoy, Emre TI - Does the Unemployment Invariance Hypothesis Hold for Canada? PY - 2016/Aug/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 10178 UR - https://www.iza.org/publications/dp10178 AB - This article explores the long-run relationship between unemployment rate and labor force participation rate in Canada. The cointegration analysis vindicates the existence of a long-run relationship between these two variables. This finding leads us to doubt the pertinence of the unemployment invariance hypothesis for Canada. This is consistent with the empirical studies for Japan, Sweden and the United States, but contradicts the empirical studies for Australia, Romania and Turkey. There are contradictory studies for the United Kingdom. KW - cointegration KW - Canada KW - unemployment KW - labor force participation KW - unemployment invariance hypothesis ER -