Unemployment in the Balkan countries and policies for its reduction

Abstract

This paper examines the problem of unemployment in the Balkan countries, its causes, consequences, and policies. The paper analyzes the comparative aspects of unemployment in the region, highlighting the differences among the countries regarding economic development, labor market institutions, and structural reforms. The study argues that unemployment in the Balkan countries is a legacy of the transition from socialism to the market economy, which resulted in massive job losses, low productivity, skill mismatches, and informality (Cipan, 2019). Also, reviews the active and passive labor market policies implemented in the Balkan countries to address unemployment and evaluates their effectiveness and impact. The paper shows that the policies have been largely insufficient, fragmented, and poorly targeted, failing to address the structural and institutional barriers that hinder job creation and employment. The study concludes that unemployment in the Balkan countries is a complex and persistent challenge that requires a comprehensive and coordinated approach, involving both national and regional actors, as well as the support of the international community. The paper contributes to the literature on unemployment in the Balkan countries by providing a comprehensive and updated overview of the issue, and by suggesting some policy recommendations for its reduction.