Unemployment and wage inequality in the Republic of Armenia
The problems of unemployment and wage inequality by regions, sectors of economy and gender in the Republic of Armenia are considered in this paper. The results of the labour force sample survey in Yerevan were used for the analysis of the unemployment structure and unemployment duration in the communities of Yerevan. A number of other indicators of labour market were defined as employment polarization indicators, characterisitics of low-paid categories of population. The factors influencing the probability of being unemployed in Yerevan city were estimated with binary choice econometric model. The factors influencing unemployment in regions were revealed by means of panel data econometric models. And the natural rate of unemployment was determined based on the revelation of interrelation between the unemployment and real wages in RA. The results of conducted research led to several suggestions that might contribute to accurate implementation of unemployment reduction policy and wage regulation.