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Home > Arhiva > 2013 > Numar: 1 > The Determinants of Youth Unemployment. A Times Series Cross-Sectional Data Analysis

 The Determinants of Youth Unemployment. A Times Series Cross-Sectional Data Analysis

  • Ciprian Pânzaru (West University of Timisoara, Faculty of Sociology and Psychology, 4 Parvan Blvd., 300223, Timisoara, Romania, E-mail:

This article attempts to identify a series of determinants of youth unemployment rates. We mainly aimed to evaluate those factors related to the ability of the state to intervene. In this regard, we assessed the role of factors such as the opportunities granted when starting a business, government policy to support the insertion on the labour market, the legal framework governing hiring and firing. In the analysis we used a series of indexes developed by the World Bank and OECD, such as starting a business index, labour market regulation index, employment protection legislation index and hiring and firing index. Some of these factors have been shown to have no significant influence on the youth unemployment rate. The only significant factor to influence the youth unemployment rate was that on the hiring and firing policy. These arguments are supported by the results of regression analyses using data available for East European Countries for the 2000-2010 period. Times series cross-sectional (TSCS) data analyses has been used.

Keywords: youth unemployment, labour market, time series, cross-sectional data