Page 56 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.82, # 1, 2025, pp. 52-69

quality of employment significantly moderates its mental health effects. Individuals
in poor-quality jobs characterized by high demand and low control were found to have
mental health outcomes comparable to, or worse than, the unemployed. These
findings emphasize the importance of considering job quality when evaluating the
protective effects of employment.
In recent years, successful results have been achieved in reducing the negative effects
of unemployment through active labor market policies (ALMPs) implemented in
some countries, including Azerbaijan. These policies not only facilitate the
reintegration of individuals into the labor market, but also support their social and
psychological well-being. (OECD, 2019).
Consequently, modern literature shows that unemployment is a multidimensional
problem and that solving this problem requires a comprehensive approach. Research
emphasizes the importance of psychological interventions at the individual level and
the coordinated implementation of economic and social policies at the structural level.

DATA AND METHODOLOGY:
Data: The analyses presented in this study are based on data derived from a nationally
administered survey conducted between October and December 2024 among
individuals officially registered as unemployed with the Public Employment Agency,
operating under the Ministry of Labor and Social Protection of the Population of the
Republic of Azerbaijan. The fieldwork was carried out by a trained team of 25
enumerators and was implemented in full compliance with the ISO 20252:2019
standard for market, opinion, and social research, which outlines internationally
recognized requirements for quality in data collection and analysis. A total of 2,752
registered unemployed individuals were surveyed, with the sample stratified
proportionally by region, gender, and educational attainment to ensure
representativeness. Following data cleaning, verification, and coding procedures, 643
complete and valid responses were retained for final analysis.
The variables used in this study are the following survey questions:
• Life satisfaction (LS) (Y) – “All things considered, how satisfied are you with your
life?” (Answers here are rated on a scale from 1 to 10)
• Job insecurity (JS) (X) – “How much stress or anxiety do you feel about the fear
of not being able to find a job?”. Here, the answers are coded as 1-“Never”, 2-
“Rarely”, 3-“Sometimes”, 4-“Often” and 5-“Always”.
• Goal growth (GG) (M1) – “How has unemployment affected the main areas of your
life (multiple answers can be selected: My personal goals and my development)?”
Here, the answers are coded as 1-“Positively affected”, 0-“Neutral” and (-1)-
“Negatively affected”.

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