Unemployment and the earnings structure in Latvia
AbstractLatvia has recorded sustained GDP and productivity growth since 1997. Yet unemployment rates, despite gradual decrease, have remained high. The paper explores the mysteries of unemployment in Latvia. It analyzes labor flows between employment, unemployment, and nonparticipation and finds the following results: The type of education and the region of residence appear to be the most important determinants of success in finding jobs by the unemployed. The unemployed from ethnic minorities have lower chances to find a job within a year, other things equal, while the difference between genders is not significant. However, neither ethnicity nor gender seems to matter as far as the transition from employment to unemployment is concerned. Regional disparities in job destruction seem to be less sizable than disparities in job creation. The analysis of job search methods by the unemployed indicates that two target groups of state employment policy (young unemployed and long-term unemployed) appear to make relatively little use of the public employment service. The author also looks at the impact of education, age, gender, ethnicity, and regional factors on individual earnings. The relative position of youth and women in Latvian labor market, compared with prime age men, is less unfavorable than in many other countries. Yet the gender wage gap has increased recently, and the same is true for regional disparities. Beneficiaries of the so-called new education system have a relatively high market value, especially with graduates from universities and general secondary schools. Finally, returns to experience seem to be nonexistent for many adult workers without higher education.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by The World Bank in its series Policy Research Working Paper Series with number 3504.
Date of creation: 01 Feb 2005
Date of revision:
Labor Markets; Labor Policies; Environmental Economics&Policies; Public Health Promotion; Health Monitoring&Evaluation; Environmental Economics&Policies; Health Monitoring&Evaluation; Labor Markets; Youth and Governance; Banks&Banking Reform;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2005-02-06 (All new papers)
- NEP-CWA-2005-02-06 (Central & Western Asia)
- NEP-LAB-2005-02-06 (Labour Economics)
- NEP-TRA-2005-02-06 (Transition Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Mihails Hazans, 2005.
"Does Commuting Reduce Wage Disparities?,"
Labor and Demography
- Barrett, Alan & FitzGerald, John & Nolan, Brian, 2000.
"Earnings Inequality, Returns to Education and Immigration into Ireland,"
IZA Discussion Papers
167, Institute for the Study of Labor (IZA).
- Barrett, Alan & FitzGerald, John & Nolan, Brian, 2002. "Earnings inequality, returns to education and immigration into Ireland," Labour Economics, Elsevier, vol. 9(5), pages 665-680, November.
- Barrett, Alan & Fitz Gerald, John & Nolan, Brian, 2000. "Earnings Inequality, Returns to Education and Immigration into Ireland," CEPR Discussion Papers 2493, C.E.P.R. Discussion Papers.
- Oaxaca, Ronald L. & Ransom, Michael R., 1994. "On discrimination and the decomposition of wage differentials," Journal of Econometrics, Elsevier, vol. 61(1), pages 5-21, March.
- Newell, Andrew & Reilly, Barry, 2001.
"The gender pay gap in the transition from communism: some empirical evidence,"
Elsevier, vol. 25(4), pages 287-304, December.
- Newell, Andrew T. & Reilly, Barry, 2001. "The Gender Pay Gap in the Transition from Communism: Some Empirical Evidence," IZA Discussion Papers 268, Institute for the Study of Labor (IZA).
- Andrew Newell & Barry Reilly, 2000. "The Gender Pay Gap in the Transition from Communism: Some Empirical Evidence," William Davidson Institute Working Papers Series 305, William Davidson Institute at the University of Michigan.
- Kunze, Astrid, 2000. "The Determination of Wages and the Gender Wage Gap: A Survey," IZA Discussion Papers 193, Institute for the Study of Labor (IZA).
- Newell, Andrew T., 2001. "The Distribution of Wages in Transition Countries," IZA Discussion Papers 267, Institute for the Study of Labor (IZA).
- Hazans, Mihails, 2003. "Commuting in the Baltic States: Patterns, determinants and gains," ZEI Working Papers B 02-2003, ZEI - Center for European Integration Studies, University of Bonn.
- Mihails Hazans, 2005.
"Looking for the Workforce: the Elderly, Discouraged Workers, Minorities, and Students in the Baltic Labour Markets,"
Labor and Demography
- Mihails Hazans, 2007. "Looking for the workforce: the elderly, discouraged workers, minorities, and students in the Baltic labour markets," Empirica, Springer, vol. 34(4), pages 319-349, September.
- Mihails Hazans, 2005. "Looking for the Workforce - the Elderly, Discouraged Workers, Minorities, and Students in the Baltic Labour Markets," ERSA conference papers ersa05p344, European Regional Science Association.
- Krasnopjorovs, Olegs, 2013.
"Latvijas ekonomikas izaugsmi noteicošie faktori
[Factors of Economic Growth in Latvia]," MPRA Paper 47550, University Library of Munich, Germany.
- Kenneth Smith, 2011. "Labor force participation in the Soviet and post-Soviet Baltic States," Economic Change and Restructuring, Springer, vol. 44(4), pages 335-355, November.
- Ieva Brauksa & Ludmila Fadejeva, 2013. "Internal Labour Market Mobility in 2005-2011: The Case of Latvia," Working Papers 2013/02, Latvijas Banka.
- Mihails Hazans, 2005. "Latvia: Working Too Hard?," Labor and Demography 0506008, EconWPA.
- Krasnopjorovs, Olegs, 2012. "Measuring the sources of economic growth in the EU with parametric and non-parametric methods," MPRA Paper 47583, University Library of Munich, Germany.
- Mihails Hazans & Ija Trapeznikova & Olga Rastrigina, 2008. "Ethnic and parental effects on schooling outcomes before and during the transition: evidence from the Baltic countries," Journal of Population Economics, Springer, vol. 21(3), pages 719-749, July.
- Jekaterina Dmitrijeva, 2008. "Matching and Labour Market Efficiency across Space and through EU accession: Evidence from Latvia, Estonia and Slovenia," Documents de recherche 08-05, Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roula I. Yazigi).
If references are entirely missing, you can add them using this form.