Age- and Gender-specific Output-employment Relationship across Economic Sectors

Mindaugas Butkus (), Laura Dargenyte-Kacilevièiene, Kristina Matuzevièiute, Janina Šeputiene and Dovile Rupliene
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Mindaugas Butkus: Vilnius university Šiauliai academy, Institute of Regional Development
Laura Dargenyte-Kacilevièiene: Vilnius university Šiauliai academy, Institute of Regional Development
Kristina Matuzevièiute: Vilnius university Šiauliai academy, Institute of Regional Development
Janina Šeputiene: Vilnius university Šiauliai academy, Institute of Regional Development
Dovile Rupliene: Vilnius university Šiauliai academy, Institute of Regional Development

Journal of Economics / Ekonomicky casopis, 2023, vol. 71, issue 1, 3-22

Abstract: This paper supplements a strand of research on sectoral employment responsiveness to changes in sectoral value-added. The methodology is based on the employment version of the first-differenced Okun’s equation, which is further developed to (i) complement limited empirical evidence on gender- and age-specific employment elasticity; (ii) analyse differences across economic sectors; and (iii) examine the non-linear impact of output growth on employment. Empirical estimates are based on EU28 data from 2008 to 2020 for four main economic sectors and their subsectors according to the NACE classification. Results show that the services significantly differ from other sectors – the positive growth of value-added increases the sector’s employment in all labour force groups, except the youth employment, and the output decrease is not followed by a decline in employment. In all other sectors, we observe the jobless growth phenomenon.

Keywords: employment intensity; economic sectors; economic growth; youth employment; gender (search for similar items in EconPapers)
JEL-codes: E24 E32 J21 O47 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:sav:journl:v:71:y:2023:i:1:p:3-22

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