Economics and management of national economy

Employment as an indicator of economy virtualisation (by the example of the United States)

Economic Annals-XXI

Economic Annals-XXI: Volume 135, Issue 11-12(1), Pages: 23-26

Citation information:
Pavuk, O., & Moldenhauer, N. (2013). Employment as an indicator of economy virtualisation (by the example of the United States). Economic Annals-XXI, 11-12(1), 23-26. https://ea21journal.world/index.php/ea-v135-06/

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Olga Pavuk
PhD (Economics),
Associate Professor,
Baltic International Academy
4 Lomonosova St., Riga, LV-1019, Latvia
Olga.pavuka@gmail.com

Nikolay Moldenhauer
Doctoral Student,
Baltic International Academy
4 Lomonosova St., Riga, LV-1019, Latvia
nikolaj.moldenhauer@gmail.com

Employment as an indicator of economy virtualisation (by the example of the United States)

Abstract. Introduction. Employment issues in the global labor market are becoming more and more relevant. The number of unemployed in the world is growing, and this process has no direct connection with the ongoing crisis. Results. In this article, we defined the concept of «virtual economy» corresponding to the realities of today and tomorrow. We also sought to identify the economic impact of virtualization on employment in key sectors, using indicators of the U.S. stock companies listed in S&P in 1999-2011. According to undertaken analysis, the next conclusions concerning interconnections of economy virtualization and employment were done. 1. Impact of employment level on gross profit generation considerably decreases which leads to unemployment growth. 2. Us a result f new technologies introduction, the correlation between industrial branches development and employment level declines that is a result of economy virtualization. 3. Outlined tendencies are characteristic simultaneously to two contrary phases of economics which are growth and recession. Thus, economic virtualization is not a consequence of cyclic business activity, but is fostered by fundamental tendencies of social and economic development.

Keywords: Employment; Virtualization; Assets; Gross Profit; Stock Indexes

JEL Classification: F21; F29; G14; O16; O15

References

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Received 22.09.2013

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