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Hidden Unemployment in Estonia: Experience from the Early Years of Transition (1989-1996)

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  • Raul Eamets
  • Kadri Ukrainski

Abstract

The aim of this article is to develop and deepen the discussion on this topic and analyse the methods of measuring hidden unemployment. This is important for giving an adequate overview of the situation of the labour market in Estonia and the scope of hidden unemployment and its development in the transition period. The following tasks are set to achieve this aim: to estimate different components of hidden unemployment in Estonia and to analyse the factors that influence this phenomenon in Estonia and thence form policy conclusions. In the analysis data from the Estonian Labour Force Survey (ELFS 97) carried out in 1997 are examined. Three logit models were calculated (for unemployed, underemployed and discouraged persons). The most important findings were that there are no general factors which could influence open and hidden unemployment at the same time, and that the factors influencing the components of hidden unemployment differ—underemployment is probably influenced more by economic factors and discouragement more by psychological factors.

Suggested Citation

  • Raul Eamets & Kadri Ukrainski, 2000. "Hidden Unemployment in Estonia: Experience from the Early Years of Transition (1989-1996)," Post-Communist Economies, Taylor & Francis Journals, vol. 12(4), pages 463-484.
  • Handle: RePEc:taf:pocoec:v:12:y:2000:i:4:p:463-484
    DOI: 10.1080/14631370050216515
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    References listed on IDEAS

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    1. Boeri, Tito, 1997. "Labour-Market Reforms in Transition Economies," Oxford Review of Economic Policy, Oxford University Press, vol. 13(2), pages 126-140, Summer.
    2. Brada, Josef C, 1989. "Technological Progress and Factor Utilization in Eastern European Economic Growth," Economica, London School of Economics and Political Science, vol. 56(224), pages 433-448, November.
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    Cited by:

    1. Jaan Masso & K. Espenberg & Anu Masso & I. Mierina & Kaia Philips, 2013. "GINI Country Report: Growing Inequalities and their Impacts in the Baltic States Estonia, Latvia, Lithuania," GINI Country Reports baltics, AIAS, Amsterdam Institute for Advanced Labour Studies.

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