Modelling the potential human capital on the labor market using logistic regression in R

Abstract

This paper exposes the methodology of creating the profile of two categories of potential human capital using logistic regression in R. The profiles were created based on some social and economic characteristics provided by the 2015 Labour Force Survey, assuring the representativeness of results at national and regional level. In this sense, the logistic regression was used to model the relationship between economically inactive persons who are seeking for a job, but are not immediately available to start working, respectively economically inactive persons who are not seeking for a job, but are immediately available to start working, and some socio-economic predictors. The aim is to identify the impediments which determine inactive people not to become active on the labour market.

Keywords

• R statistical software
• labor force
• logistic regression
• odds ratio