Types and Duration of Unemployment in Kosovo

Abstract

The unemployment rate remains one of the most important economic indicators of a country as the employed themself are the most important part of any economy. In Kosovo, such a topic remains one of the most debated problems since the unemployment rate hits 30% (KAS, 2012), a rate much higher than in any OECD member. Making a clear distinction of the types of unemployment that a country faces is crucial since different ALMP’s are required to target each of the types. Hence, we discuss the different types of unemployment that a country may face and we analyze if such types are suitable for describing the unemployment rate in Kosovo and if so, what policies are required to target them. We then return to the duration of unemployment and we discuss the reasons for the long-term unemployment in Europe. We then analyze if such reasons are suitable for describing the long-term unemployment in Kosovo.

DOI: 10.5901/mjss.2015.v6n3p453