Work detail

Regional disparities in unemployment in Slovakia

Author: Bc. Pavel Hrnčiar
Year: 2009 - summer
Leaders: doc. Ing. Vladislav Flek CSc.
Consultants:
Work type: Bachelors
Language: Slovak
Pages: 76
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Abstract: The paper deals with the analysis of regional disparities in unemployment in Slovakia. The first, theoretical, part of the paper outlines how large and persistent regional disparities in unemployment in the countries of Central and Eastern Europe are explained by the economic theory. Subsequent survey of the empirical literature with a special focus on the case of Slovakia tries to determine to what extent the explanations of the economic theory correspond with the empirical observations. The analysis of the regional data from the period of years 1997-2009 focuses on verifying two basic hypotheses. The first hypothesis of significant increase of inter-regional disparities in the unemployment rate in Slovakia during the observed period was validated on the basis of increasing values of weighted coefficient of variation, variation and decile ratio and data on relative unemployment rate. The second hypothesis of increasing regional mismatch between the distribution of vacancies and unemployment was rejected since the value of the index of regional mismatch in the respective period demonstrated rather decreasing tendency. Final part of the paper assesses selected measures of the labour market policy and regional policy adopted to mitigate regional disparities, points out their flaws and tries to propose changes that could contribute to positive development.
Keywords: regional disparities, unemployment rate, labour market
JEL classification: J60, R11

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