Unemployment and Monetary Policy Dynamics in Pakistan: Evidence from Cointegration Analysis

  • Hina Ali The Women University Multan, Pakistan
  • Muhammad Zeeshan Ali University of Chester England
  • Farhana Nosheen Govt Associate College for Women Muzaffarabad, Multan, Pakistan.
  • Afifa Sadar Ud Din Women University of Multan, Pakistan.
Keywords: Unemployment, Bank credit to the private sector, Budget deficit, Population growth

Abstract

This study examined the impact of monetary policy on unemployment in Pakistan. The time-series data for 1977 to 2019 was taken and the ARDL technique is used for estimation. Unemployment was used as a dependent variable along with other control variables while the money supply was the core independent variable of the research. It was concluded that money related arrangement not just contributes to observing past patterns and additionally future projections of superficial factors of real factors also. The outcomes show that there is a critical and negative connection between spending Deficit and unemployment. The gross domestic product development rate is decidedly identified with unemployment. Populace development rate is adversely identified with unemployment. The consumer price index is contrarily identified with unemployment.

Author Biographies

Hina Ali, The Women University Multan, Pakistan

Assistant Professor, Department of Economics.

Muhammad Zeeshan Ali, University of Chester England

Research Scholar of Finance

Farhana Nosheen, Govt Associate College for Women Muzaffarabad, Multan, Pakistan.

Assistant Professor, Department of Economics.

Afifa Sadar Ud Din, Women University of Multan, Pakistan.

Research Scholar

Published
2021-06-30
How to Cite
Ali, H., Ali, M. Z., Nosheen, F., & Din, A. S. U. (2021). Unemployment and Monetary Policy Dynamics in Pakistan: Evidence from Cointegration Analysis. Pakistan Journal of Humanities and Social Sciences, 9(1), 01 - 09. https://doi.org/10.52131/pjhss.2021.0901.0107