The Czech rate of unemployment grew to 8.5% in November, from 8.4% in October. The rise was, in fact, rather a mirage, as the number of unemployed barely budged from 437 thousand in October to 439 thousand in November. What did change in November, though, is the number of job-offers that fell by 8% from October to November's 56 thousand. The Czech labor market seems to be tightening, if anything, and we find no rationale for the government's optimism that the jobless rate would fell to 8.2% next year. Our, relatively optimistic, forecast is the 2002 average unemployment rate of 8.5%, i.e. exactly the same as in 2001.
(David Marek)