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How likely was to fall into unemployment during the COVID-19 pandemic crisis in Ecuador?

Abstract:

The COVID-19 pandemic did not only impact on the health system but also the economic one, reducing the employment. This research aims to determine the influence of socioeconomic factors on the probability of falling into unemployment in the context of the COVID-19 pandemic. To do so, a survey on the economic and financial situation of people in Ecuador, carried out by the National Polytechnic School in May 2020 is used. The results of the probit model estimation indicate that characteristics of people who were more prone to lose their jobs during the economic crisis derived from the COVID-19 pandemic are: women with no education; people older than 45 years old; people with no insurance; people with no savings, people with informal debts and people working in COVID-19 related high-risk activities. A novel result that adds to the existent literature is that women and men with no education (same condition) are not equally prone to lose their jobs; women with no education are more likely to lose their jobs than men with no education.