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Skill Mismatch and Regional Unemployment in Poland

In: The European Labour Market. Regional Dimensions

Author

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  • Andrew Newell

    (University of Sussex)

Abstract

This paper investigates the extent to which the patterns of regional unemployment in Poland since the early 1990s can be explained by regional imbalances in the supply and demand for skilled labour. Indeed, massive changes in the relative demand for skilled labour are found to have taken place over this period, and by no means uniformly across Polish regions. Lower-skilled regional populations tend to generate higher rates of unemployment. Moreover, when controlling for population skill levels, higher levels of relative demand for skilled workers raise a region’s rate of unemployment. Using a theoretical model in which regional labour supply mobility and relative wage flexibility are limited, the author interprets these findings as equilibrium and mismatch phenomena. They account for about half of the regional variation in Polish rates of unemployment.

Suggested Citation

  • Andrew Newell, 2006. "Skill Mismatch and Regional Unemployment in Poland," AIEL Series in Labour Economics, in: Floro Ernesto Caroleo & Sergio Destefanis (ed.), The European Labour Market. Regional Dimensions, edition 1, chapter 9, pages 187-202, AIEL - Associazione Italiana Economisti del Lavoro.
    • Handle: RePEc:ail:chapts:01-09
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    File URL: http://link.springer.com/chapter/10.1007/3-7908-1680-9_9
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    Citations

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    Cited by:

    1. Piotr Ciżkowicz & Michał Kowalczuk & Andrzej Rzońca, 2016. "Heterogeneous determinants of local unemployment in Poland," Post-Communist Economies, Taylor & Francis Journals, vol. 28(4), pages 487-519, October.
    2. Hilary Ingham & Mike Ingham & Jan Herbst, 2011. "Local unemployment in Poland: rural-urban contrasts," Applied Economics, Taylor & Francis Journals, vol. 43(10), pages 1175-1186.
    3. Mondschean, Thomas & Oppenheimer, Margaret, 2011. "Regional Long-term and Short-term Unemployment and Education in Transition: The Case of Poland," The Journal of Economic Asymmetries, Elsevier, vol. 8(2), pages 23-48.
    4. Prodromídis, Pródromos-Ioánnis K., 2012. "Modeling male and female employment policy in Greece from local data," Economic Modelling, Elsevier, vol. 29(3), pages 823-839.

    More about this item

    Keywords

    Skill Mismatch; Regional Unemployment; Labour Turnover; Labour Reallocation; Structural Change; Transition from Plan to Market; Poland.;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • P52 - Political Economy and Comparative Economic Systems - - Comparative Economic Systems - - - Comparative Studies of Particular Economies
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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