TITLE:
Determinants of Expected Wages of Unemployed Workers in Turkey
AUTHORS:
İsmail Şentürk
KEYWORDS:
Expected Wages, Reservation Wages, Unemployment Duration, Unemployed, Turkey
JOURNAL NAME:
Modern Economy,
Vol.6 No.7,
July
15,
2015
ABSTRACT: In this study, determinants of expected wages of unemployed individuals
in Turkey have been analyzed. In addition to duration of unemployment,
reservation wage, and previous wage, the effect of demographic and economic
factors has also been studied. The data which were obtained from 1607
individuals who were included in a nationwide survey has been analyzed by the
two stage least squares method. Our findings show that previous wage, age, the level
of education, the number of foreign languages spoken, the number of job offers
the individual receives, and whether the individual receives state assistance
determine the expected wage. Obtained results are important because they show
how individuals price the variables that determine their own productivities. In addition, our study sheds light on
relationships between reservation wage, duration of unemployment, previous
wage, and expected wage within the context of Turkey.