The determinants of individual unemployment duration: The case of Malaysian graduates

Abstract

This paper estimates determinants of individual unemployment duration of Malaysian graduates. Estimation result suggests that lack of proficiency in English, a mismatch between the type of graduation degree and the requirements for the available jobs in the labor market, family background, state of happiness in overall life, self-expectation on one’s employability and some socio-demographic characteristics (such as ethnicity) are significant determinants of graduate unemployment duration in Malaysia. Specifically, the ‘hypothesis of selection’ in literature of happiness studies is supported; non-English languages proficiency (including Chinese) has no significant impact; and it is imperative to have a
\nrealistic self-expectation on one’s employability.