Unemployment and Labor Market Issues in Algeria

ByDavide Furceri

April 1, 2012

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

The aim of this paper is to analyze unemployment and labor market developments in Algeria and assess the factors that may hamper employment creation. The results of the paper suggest that the relative low output-employment elasticities and rigid labor market are the main factors behind the still high level of unemployment, particularly among the youth. Simulation analyses, based on the results on the relation between labor market institutions and unemployment, show that improvement in labor market conditions in Algeria would be key in reducing unemployment both in the short- and medium-term.

Subject: Employment, Labor, Labor market flexibility, Labor markets, Unemployment, Unemployment rate

Keywords: Employment, employment intensity, employment-output elasticity, flexibility, GDP-employment elasticity, labor market, labor market flexibility, Labor market flexibility, labor market imperfection, labor market rigidity, Labor markets, labor-market mismatch, underpinning employment elasticity, unemployment, Unemployment rate, unemployment-GDP elasticity, WP

Pages:
28
Volume:
2012
DOI:
---
Issue:
099
Series:
Working Paper No. 2012/099
Stock No:
WPIEA2012099
ISBN:
9781475502893
ISSN:
1018-5941

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