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Age- and Gender-specific Output-employment Relationship across Economic Sectors

Author

Listed:
  • Mindaugas Butkus

    (Vilnius university Šiauliai academy, Institute of Regional Development)

  • Laura Dargenyte-Kacilevièiene

    (Vilnius university Šiauliai academy, Institute of Regional Development)

  • Kristina Matuzevièiute

    (Vilnius university Šiauliai academy, Institute of Regional Development)

  • Janina Šeputiene

    (Vilnius university Šiauliai academy, Institute of Regional Development)

  • Dovile Rupliene

    (Vilnius university Šiauliai academy, Institute of Regional Development)

Abstract

This paper supplements a strand of research on sectoral employment responsiveness to changes in sectoral value-added. The methodology is based on the employment version of the first-differenced Okun’s equation, which is further developed to (i) complement limited empirical evidence on gender- and age-specific employment elasticity; (ii) analyse differences across economic sectors; and (iii) examine the non-linear impact of output growth on employment. Empirical estimates are based on EU28 data from 2008 to 2020 for four main economic sectors and their subsectors according to the NACE classification. Results show that the services significantly differ from other sectors – the positive growth of value-added increases the sector’s employment in all labour force groups, except the youth employment, and the output decrease is not followed by a decline in employment. In all other sectors, we observe the jobless growth phenomenon.

Suggested Citation

  • Mindaugas Butkus & Laura Dargenyte-Kacilevièiene & Kristina Matuzevièiute & Janina Šeputiene & Dovile Rupliene, 2023. "Age- and Gender-specific Output-employment Relationship across Economic Sectors," Journal of Economics / Ekonomicky casopis, Institute of Economic Research, Slovak Academy of Sciences, vol. 71(1), pages 3-22, January.
  • Handle: RePEc:sav:journl:v:71:y:2023:i:1:p:3-22
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    employment intensity; economic sectors; economic growth; youth employment; gender;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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