Page 52 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.78, # 1, 2021, pp. 40-65

This means that the population employed in agriculture, forestry and fishing is 2.6-
2.66 times less than the population living in rural areas. Also, despite the fact that
during the corresponding period the share of the employed population in
construction increased by 2.0%, there is a need for structural changes to increase the
share of professional workers.

In general, the percentage composition of the number of unemployed by the time of
employment is classified into the following groups, based on the statistics for 2017:
• Up to 1 month-0.4%;
• From 1 year to 3 months-1.6%;
• From 3 months to 6 months-4.1%;
• 6 months-up to 12 months - 25.5%;
•12 months or more-68.4%.

Тhe long-term unemployment rate is calculated using the formula (1) based on the
ratio of the number of unemployed in the country for 12 months or more to the
number of economically active population:
>12

İ . . . = ∑ =12 . . . x100%, (1)
. . . .

here: İ . . . - long-term unemployment rate,%;
∑ >12 . . . -number of unemployed in 12 months and over, thousand
=12
people;
. . . . - the number of economically active population in the country is
a thousand people.

The unemployment rate in Azerbaijan in 2016-2017 compared to 2015 increased by
0.1%, amounted to 5.04% and 5.02%, respectively, in 2019-4.8%, at the same time,
the share of long-term unemployment increased. According to the October report of
the IMF, the unemployment rate in 2020 was 6.5% [Azerbaijan Statistical
Committee, 2019].

The long-term unemployment rate in Azerbaijan, calculated on the basis of official
statistics of the Statistical Committee of Azerbaijan, is calculated according to the
formula (1) defined as 3.8% in 2005 and 2.55-3.0% in 2010-2020, and the lowest
level was in 2014 (2.55%) and the highest level due to the pandemic was in 2019-
2.97% and in 2020 - 3.0% (Figure 2).

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