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Understanding Irish Labour Force Participation


 
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1. Title Title of document Understanding Irish Labour Force Participation
 
2. Creator Author's name, affiliation, country Stephen Byrne; Central Bank of Ireland; Ireland
 
2. Creator Author's name, affiliation, country Martin D. O’Brien; Central Bank of Ireland; Ireland
 
3. Subject Discipline(s)
 
3. Subject Keyword(s) labour supply; labour policy; Ireland
 
4. Description Abstract This paper explores developments in the labour force participation rate in Ireland. Given the important role of labour supply in explaining Irish economic growth, we aim to identify the relative influence of structural and cyclical factors in the recent dynamics of Irish labour force participation. Using a number of empirical approaches our results highlight the role of age, nationality and gender on the participation rate. We also find that the recent decline in female participation is entirely a response to the stage in the economic cycle given the weaker labour market, whereas the fall in male and overall participation also reflects the influence of some structural factors. Accordingly a rise in the participation rate is to be expected in the near term as the economic recovery continues, and current measures of slack in the economy should account for this. Combining our results and various population projection scenarios, we show that policy actions to increase female participation may not in and of themselves yield significant changes in the aggregate trend participation rate over the medium term owing to the stronger influence of the falling male trend. Higher immigration is the most effective way of offsetting the expected decline in trend participation out to 2025.
 
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6. Contributor Sponsor(s)
 
7. Date (YYYY-MM-DD) 2017-03-28
 
8. Type Status & genre Peer-reviewed Article
 
8. Type Type
 
9. Format File format PDF
 
10. Identifier Uniform Resource Identifier http://www.esr.ie/article/view/675
 
11. Source Title; vol., no. (year) The Economic and Social Review; Vol 48, No 1, Spring (2017)
 
12. Language English=en en
 
13. Relation Supp. Files
 
14. Coverage Geo-spatial location, chronological period, research sample (gender, age, etc.)
 
15. Rights Copyright and permissions Copyright (c) 2017 The Economic and Social Review