Prague Economic Papers 2015, 24(1):73-87 | DOI: 10.18267/j.pep.501

Uneployment Dynamics in Central Europe: A Labour Flow Approach

Vladislav Flek, Martina Mysíková
Metropolitan University Prague (e-mail: vladislav.flek@mup.cz; martina.mysikova@mup.cz).

We analyse labour market flows and unemployment rate dynamics in the Czech Republic (CR), Slovakia and Poland. Relative involvement of working-age individuals in movements between various labour market states appears to be approximately five times lower in Central Europe than in the U.S./UK. Compared to neighbouring countries, the CR suffers from a relatively weaker net flow of individuals from unemployment to employment. This net flow alone would cut the unemployment rate in Poland more than twice as fast as in the CR. In particular, currently unemployed Czech men, individuals with primary education, and the 55-65 age group are adversely affected by this national-specific feature of labour market flows.

Keywords: EU-SILC, labour market flows, longitudinal data, unemployment
JEL classification: J21, J64

Published: January 1, 2015  Show citation

ACS AIP APA ASA Harvard Chicago IEEE ISO690 MLA NLM Turabian Vancouver
Flek, V., & Mysíková, M. (2015). Uneployment Dynamics in Central Europe: A Labour Flow Approach. Prague Economic Papers, 24(1), 73-87. doi: 10.18267/j.pep.501
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. Abraham, K. G., Shimer, R. (2001), "Changes in Unemployment Duration and Labor Force Attachment." National Bureau of Economic Research Working Paper No. 8513. Go to original source...
    2. Aujean, L., Tchipeva, T., Pescher, J. (2012), "The Dynamics of Long-Term Unemployment." in: Employment and Social Developments in Europe. Brussels: European Commission.
    3. Bellmann, L., Estrin, S., Lehmann, H., Wadsworth, J. (1995), "The East German Labour Market in Transition: Gross Flow Estimates from Panel Data." Journal of Comparative Economics, Vol. 20, No. 2, pp. 139-170. Go to original source...
    4. Blanchard, O. J., Diamond, P. (1990), "The Cyclical Behavior of Gross Flows of US Workers." Brookings Papers on Economic Activity, Vol. 21, No. 2, pp. 85-156. Go to original source...
    5. Burda, M., Wyplosz, Ch. (1994), "Gross Worker and Job Flows in Europe." European Economic Review, Vol. 38, No. 6, pp. 1287-1315. Go to original source...
    6. Cassado, J. M., Fernandez, C. Jimeno, J. F. (2011), "Labour Market Flows in the European Union." Paper presented at the GESIS 2nd EU-Microdata User Conference, Manheim.
    7. Cazes, S., Nesporova, A., eds. (2007), Flexicurity: A Relevant Approach in Central and Eastern Europe. Geneva: International Labour Organisation.
    8. CNB (2008), Analyses of the Czech Republic's Current Economic Alignment with the Euro area. Chapter 2: Adjustment mechanisms. Prague: Czech National Bank, Monetary Department.
    9. Dixon, R., Freebairn, J., Lim, G. C. (2011), "Net Flows in the U.S. Labor Market, 1990-2010." Monthly Labor Review (February), pp. 25-32.
    10. Dixon, R., Freebairn, J., Lim, G. C. (2004), "A Framework for Understanding Changes in the Unemployment Rate in a Flows Context: An Examination of Net Flows in the Australian Labour Market." University of Melbourne Department of Economics Research Paper No. 910.
    11. Fallick, B., Fleischman, C. A. (2004), "Employer-to-Employer Flows in the US Labor Market: The Complete Picture of Gross Worker Flows." Board of Governors of the Federal Reserve System Finance and Economics Discussion Series No. 34. Go to original source...
    12. Gomez, P. (2009), "Labour Market Flows: Facts from the United Kingdom." Bank of England Working Paper No. 367. Go to original source...
    13. Gora, M., Lehmann, H. (1992), "Flow and Stock Analysis of Polish Unemployment: January 1990- June 1991." Labour, Vol. 6, No. 1, pp. 87-120. Go to original source...
    14. Gottvald, J. (2005), "Czech Labour Market Flows 1993-2003." Czech Journal of Economics and Finance, Vol. 55, Nos. 1-2, pp. 41-53.
    15. OECD (2012), Economic Outlook - Annual Projections, No. 92. Paris. Retrieved from: http://stats.oecd.org/index.aspx?queryid=40203
    16. Petrongolo, B., Pissarides Ch. A. (2008), "The Ins and Outs of European Unemployment." American Economic Review, Vol. 98, No. 2, pp. 256-262. Go to original source...
    17. Shimer, R. (2007), "Reassessing the Ins and Outs of Unemployment." National Bureau of Economic Research Working Paper No. 13421. Go to original source...
    18. Silverstone, B., Bell, W. (2010), "Labour Market Flows in New Zealand: Some Questions and Some Answers." Paper presented at the 51st Conference of the New Zealand Association of Economists, Auckland.
    19. Sorm, V., Terrel, K. (2000), "Sectoral Restructuring and Labor Mobility: A Comparative Look at the Czech Republic." Journal of Comparative Economics, Vol. 28, No. 3, pp. 431-455. Go to original source...
    20. Večerník, J. (2001), "Labour Market Flexibility and Employment Security - Czech Republic." International Labour Organisation Employment Paper No. 27.

    This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY NC ND 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return to the content