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The Determinants Of Individual Unemployment Duration: The Case Of Malaysian Graduates

  • Hock-Eam Lim


    (Economics Building, Universiti Utara Malaysia)

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    This paper estimates determinants of individual unemployment duration of Malaysian graduates. Estimation result suggests that lack of proficiency in English, a mismatch between the type of graduation degree and the requirements for the available jobs in the labor market, family background, state of happiness in overall life, self-expectation on one’s employability and some socio-demographic characteristics (such as ethnicity) are significant determinants of graduate unemployment duration in Malaysia. Specifically, the ‘hypothesis of selection’ in literature of happiness studies is supported; non-English languages proficiency (including Chinese) has no significant impact; and it is imperative to have a realistic self-expectation on one’s employability.

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    Article provided by Global Research Agency in its journal Journal of Global Management.

    Volume (Year): 2 (2011)
    Issue (Month): 2 (July)
    Pages: 184-203

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    Handle: RePEc:grg:03mngt:v:2:y:2011:i:2:p:184-203
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    1. Louise Grogan & Gerard J. van den Berg, 2001. "The duration of unemployment in Russia," Journal of Population Economics, Springer;European Society for Population Economics, vol. 14(3), pages 549-568.
    2. Holmlund, B., 1997. "Unemployment Insurance in Theory and Practice," Papers 1997-25, Uppsala - Working Paper Series.
    3. Aysit Tansel & Mehmet Tasci, 2004. "Determinants of Unemployment Duration for Men and Women in Turkey," Working Papers 2004/6, Turkish Economic Association.
    4. Nickell, Stephen J, 1979. "Estimating the Probability of Leaving Unemployment," Econometrica, Econometric Society, vol. 47(5), pages 1249-66, September.
    5. Narendranathan, W. & Stewart, M.B., 1989. "Modelling The Probability Of Leaving Unemployment: Competing Risks Models With Flexible Baseline Hazards," The Warwick Economics Research Paper Series (TWERPS) 331, University of Warwick, Department of Economics.
    6. Paul M Romer, 1999. "Endogenous Technological Change," Levine's Working Paper Archive 2135, David K. Levine.
    7. Edin, Per-Anders, 1989. " Unemployment Duration and Competing Risks: Evidence from Sweden," Scandinavian Journal of Economics, Wiley Blackwell, vol. 91(4), pages 639-53.
    8. Nick Carroll, 2004. "Explaining Unemployment Duration in Australia," CEPR Discussion Papers 483, Centre for Economic Policy Research, Research School of Economics, Australian National University.
    9. Dawkins, Casey J. & Shen, Qing & Sanchez, Thomas W., 2005. "Race, space, and unemployment duration," Journal of Urban Economics, Elsevier, vol. 58(1), pages 91-113, July.
    10. Pellizzari, Michele, 2006. "Unemployment duration and the interactions between unemployment insurance and social assistance," Labour Economics, Elsevier, vol. 13(6), pages 773-798, December.
    11. Lancaster, Tony, 1979. "Econometric Methods for the Duration of Unemployment," Econometrica, Econometric Society, vol. 47(4), pages 939-56, July.
    12. Knut Roed & Tao Zhang, 2003. "Does Unemployment Compensation Affect Unemployment Duration?," Economic Journal, Royal Economic Society, vol. 113(484), pages 190-206, January.
    13. Hwei-Lin Chuang, 1999. "Estimating the determinants of the unemployment duration for college graduates in Taiwan," Applied Economics Letters, Taylor & Francis Journals, vol. 6(10), pages 677-681.
    14. Hock-Eam Lim, 2007. "Estimating The Employment Performance Indicator: The Case Of Universiti Utara Malaysia Graduates," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 52(01), pages 73-91.
    15. Kupets Olga, 2005. "Determinants of unemployment duration in Ukraine," EERC Working Paper Series 05-01e, EERC Research Network, Russia and CIS.
    16. Roed, Knut & Zhang, Tao, 2005. "Unemployment duration and economic incentives--a quasi random-assignment approach," European Economic Review, Elsevier, vol. 49(7), pages 1799-1825, October.
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