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Analysis of the Unemployment Volatility in Mexico by Regions, 2000-2018

Victoria de los Ángeles Díaz Solís | Bio
Instituto Nacional de Estadística y Geografía
Jorge Eduardo Mendoza Cota | Bio
El Colegio de la Frontera Norte
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Abstract

The volatile behavior of unemployment in Mexico constitutes a problem which points to the existence of factors that determine the cyclical dynamics of unemployment. This article provides empirical evidence on the determinants that explain the volatility of unemployment in Mexico. The research employs micro data available in the National Work Survey and the National Occupational and Employment Survey for the 2000-2018 period, which determines the rate of partial occupation and state-wide unemployment. The methodology of the work employed econometric techniques with fixed effect panels and co-integration panels for analyzing the short and long term. The results suggest that a high volatility of unemployment in Mexico might be explained due to the lower levels of work productivity and high real salaries, accompanied by a greater extent of work flexibility and high occupation rates in the informal sector.

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How to Cite
Díaz Solís, V. de los Ángeles, & Mendoza Cota, J. E. (2021). Analysis of the Unemployment Volatility in Mexico by Regions, 2000-2018. Semestre Económico, 24(57), 125-150. https://doi.org/10.22395/seec.v24n57a6

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