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Alternative Unemployment Rates in Romania

Author

Listed:
  • Ștefan George

    (Bucharest University of Economic Studies (ASE), Bucharest, Romania)

  • Paraschiv Anca

    (Bucharest University of Economic Studies (ASE), Bucharest, Romania)

  • Volintiru Clara

    (Bucharest University of Economic Studies (ASE), Bucharest, Romania)

Abstract

Official statistics and usual metrics place Romania at a relatively low level of unemployment. This paper shows why this can be misleading, considering various specificities of the Romanian economy. Looking at such factors as structural features, a high number of people employed in agriculture, involuntary part-time workers, etc. we show that there are alternative metrics for unemployment that can constitute better diagnostic tools for public policies and labor market reform. The alternative unemployment metrics presented here, show that the real unemployment figures in Romania are much closer to those in Mediterranean economies like Greece, Italy, and Spain that have been struggling with high unemployment. Furthermore, we emphasize possible directions and measures to be implemented in Romania to reduce unemployment (especially structural) and to support inter-regional social cohesion and sustainable economic growth. Given the current context of the economic downturn in the post-COVID-19 and the projected impact on vulnerable groups and the risk of poverty, it is more important than ever to develop sound evidence for the policy-making process.

Suggested Citation

  • Ștefan George & Paraschiv Anca & Volintiru Clara, 2022. "Alternative Unemployment Rates in Romania," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 1491-1504, August.
    • Handle: RePEc:vrs:poicbe:v:16:y:2022:i:1:p:1491-1504:n:23
    DOI: 10.2478/picbe-2022-0137
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    References listed on IDEAS

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    More about this item

    Keywords

    Unemployment; labor market; Romania; hysteresis; alternative unemployment metrics;
    All these keywords.

    JEL classification:

    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • H00 - Public Economics - - General - - - General
    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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