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Unemployment in Bulgaria, 1991-1993

  • Lubomir Dimitrov

    ()

    (Agency for Economic Analysis and Forecasting)

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    The first half of 1990 marked the appearance of open unemployment in the Bulgarian economy as a result of the inability of the government budget to finance the artificially sustained level of over-employment. The output decline and the shrinking labour market are the kea factors for the high level of unemployment. Industry and argiculture are most affected since the largest share of the labour force was concentrated there. The larger part of the unemployment cohort was formed in 1991-1992. 1993 witnessed lower grouth rates. A kea source of unemployment are public sector lay-off for economic reasons. Their dynamics in the industrial sector is negatively correlated to the average wage dynamics. The average duration of unemployment is relatively long, but still below the highest world levels. Clearly all anti-employment efforts that are not linked to output recovery are irrelevant.

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    Paper provided by Agency for Economic Analysis and Forecasting in its series Working paper series with number 21994en.

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    Length: 34 pages
    Date of creation: Jun 1994
    Date of revision:
    Handle: RePEc:eaf:wpaper:21994en
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