Market Policies (market + policy)

Distribution by Scientific Domains

Kinds of Market Policies

  • active labour market policy
  • labor market policy
  • labour market policy


  • Selected Abstracts


    Active Labor Market Policies in Europe.

    PAPERS IN REGIONAL SCIENCE, Issue 3 2008
    Andrea Weber, Bas van der Klaauw, By Jochen Kluve, Christoph M. Schmidt, David Card, Eleonora Patacchini, Lena Jacobi, Leonhard Nima, Marek Góra, Michael Fertig, Performance, Perspectives, Peter Jensen, Reelika Leetmaa, Sandra Schaffner
    No abstract is available for this article. [source]


    Labour Market Policies and Long-term Unemployment in a Flow Model of the Australian Labour Market

    AUSTRALIAN ECONOMIC PAPERS, Issue 2 2003
    Ric D. Herbert
    This paper develops a general equilibrium job matching model, which is used to assess the impact of active labour market policies, reductions in unemployment benefits and reductions in worker bargaining power on long-term unemployment and other key macro variables. The model is calibrated using Australian data. Simulation experiments are conducted through impulse response analysis. The simulations suggest that active labour market programs (ALMPs) targeted at the long-term unemployed have a small net impact and produce adverse spillover effects on short-term unemployment. Reducing the level of unemployment benefits relative to wages and worker bargaining power have more substantial effects on total and long-term unemployment and none of the spillover effects of ALMPs. [source]


    Optimal speed of transition with a shrinking labour force and under uncertainty*

    THE ECONOMICS OF TRANSITION, Issue 1 2006
    Randolph Luca Bruno
    Abstract In the 1990s , during the restructuring of large state enterprises , Central European economies experienced high unemployment. Social policy expenditures, particularly targeted to the non-employed, grew faster than expected due to the need to finance the out-of-the-labour categories. In 1992, after the Passive Labour Market Policies' reforms, the pace of transition decelerated. Unemployment dynamics, speed of transition and non-employment policies are modelled based on the assumption that the labour force is shrinking over time. Dismissed workers have the opportunity to choose an outside-option alternative to labour force participation. Individual uncertainty is assumed in a first phase of transition, while aggregate uncertainty , generating opposition to restructuring , is modelled in a second phase. The model predicts a slowdown in the speed of transition. [source]


    Book Reviews Comptes Rendus

    CANADIAN PUBLIC ADMINISTRATION/ADMINISTRATION PUBLIQUE DU CANADA, Issue 4 2001
    Article first published online: 9 JAN 200
    Book reviewed in this article: Federalism, Democracy and Labour Market Policy in Canada:Edited by TOM MCINTOSH. Killer Algae: The True Tale of a Biological Invasion:By ALEXANDRE MEINESZ Manager en publicSows la direction de HENRY MINTZBERG et JACQUES BOURGAULT. Toronto: lnstitut d'administration publique du Canada. [source]


    Economic Policy and Women's Informal Work in South Africa

    DEVELOPMENT AND CHANGE, Issue 5 2001
    Imraan Valodia
    This article examines the gender dimensions of the growth in informal and flexible work in South Africa and the government's policy response to this. It outlines the growth in informal and flexible work practices and, as illustrative examples, analyses how trade and industrial policies and labour market policies are impacting on the growth of informal and flexible work. It is argued that the South African government's trade and industrial policies are shifting the economy onto a path of capital intensification. Allied to this, firms are undergoing a process of extensive restructuring. These developments are further promoting the growth of flexibilization and informalization, and thereby disadvantaging women. The article demonstrates that whilst the government offers a vast package of support measures to big business, its policy is largely irrelevant to the survivalist segment of small business, where most women in the informal economy are to be found. The picture for labour policy is more diverse. Aspects of the labour legislation are promoting the growth of a dual labour market, whilst there seems to be some tightening up of practices aimed at bypassing aspects of the protection provided to workers. [source]


    From ,welfare without work' to ,buttressed liberalization': The shifting dynamics of labor market adjustment in France and Germany

    EUROPEAN JOURNAL OF POLITICAL RESEARCH, Issue 3 2008
    MARK I. VAIL
    Scholars blame this disease on dysfunctional political arrangements, deep insider-outsider cleavages and failed systems of social partnership. As a result, the two countries are said to be more or less permanently mired in a context of high unemployment that is highly resistant to remediation. This article departs from this conventional wisdom in two important respects. First, it argues that France and Germany have undertaken major reforms of their labor market policies and institutions during the past decade and remediated many of their longstanding employment traps. Second, it shows that the political arrangements that adherents of the ,welfare without work' thesis identify as reasons for sclerosis have evolved quite dramatically. The article supports these arguments by exploring some of the most significant recent labor market reforms in the two countries, as well as the shifting political relationships that have driven these changes. In both countries, recent labor market reforms have followed a trajectory of ,buttressed liberalization'. This has involved, on the one hand, significant liberalization of labor market regulations such as limits on overtime and worker protections such as unemployment insurance. On the other hand, it has entailed a set of supportive, ,buttressing' reforms involving an expansion of active labor market policies and support for workers' efforts to find jobs. The article concludes that these developments provide reasons for optimism about the countries' economic futures and offer important lessons about how public policy can confront problems of labor market stagnation. [source]


    TRADE LIBERALIZATION AND COMPENSATION,

    INTERNATIONAL ECONOMIC REVIEW, Issue 3 2006
    Carl Davidson
    Liberalization harms some groups while generating aggregate benefits. We consider various labor market policies that might be used to compensate those who lose from freer trade. Our goal is to find the policy that compensates each group of losers at the lowest cost to the economy. We argue that wage subsidies should be used to compensate those who bear the adjustment costs triggered by liberalization whereas employment subsidies should be used to compensate those who remain trapped in the previously protected sector. Our analysis indicates that the cost of compensation is low, provided that the right policy is used. [source]


    Low-wage work in five European countries and the United States

    INTERNATIONAL LABOUR REVIEW, Issue 4 2009
    Gerhard BOSCH
    Abstract. Analysing research findings on Denmark, Germany, France, the Netherlands, the United Kingdom and the United States, the author shows that the incidence and conditions of low-paid employment in each country are determined by a set of institutions, including minimum wage and active labour market policies, tax and social security systems, and collective bargaining. The widely assumed trade-off between employment and wages, he argues, is not inescapable: active labour market policies for individual empowerment and institutions imposing "beneficial constraints" can prevent improved conditions at the bottom of the earnings distribution from translating into higher unemployment, while also helping to narrow inequalities. [source]


    New social risks in postindustrial society: Some evidence on responses to active labour market policies from Eurobarometer

    INTERNATIONAL SOCIAL SECURITY REVIEW, Issue 3 2004
    Peter Taylor-Gooby
    One result of the complex economic and social changes currently impacting on state welfare is the emergence of what may be termed "new social risks" as part of the shift to a postindustrial society. These concern access to adequately paid employment, particularly for lower-skilled young people, in an increasingly flexible labour market, and managing work-life balance for women with family responsibilities engaged in full-time careers. They coexist with the old social risks that traditional welfare states developed to meet, which typically concern retirement from or interruption to paid work, in most cases for a male "breadwinner". New social risks offer policymakers the opportunity to transform vice into virtue by replacing costly passive benefits with policies which mobilize the workforce, arguably enhancing economic competitiveness, and reduce poverty among vulnerable groups. However, the political constituencies to support such policies are weak, since the risks affect people most strongly at particular life stages and among specific groups. This paper examines attitudes to new social risk labour market policies in four contrasting European countries. It shows that attitudes in this area are strongly embedded in overall beliefs about the appropriate scale, direction and role of state welfare interventions, so that the weakness of new social risk constituencies does not necessarily undermine the possibility of attracting support for such policies, provided they are developed in ways that do not contradict national traditions of welfare state values. [source]


    SOME PRACTICAL GUIDANCE FOR THE IMPLEMENTATION OF PROPENSITY SCORE MATCHING

    JOURNAL OF ECONOMIC SURVEYS, Issue 1 2008
    Marco Caliendo
    Abstract Propensity score matching (PSM) has become a popular approach to estimate causal treatment effects. It is widely applied when evaluating labour market policies, but empirical examples can be found in very diverse fields of study. Once the researcher has decided to use PSM, he is confronted with a lot of questions regarding its implementation. To begin with, a first decision has to be made concerning the estimation of the propensity score. Following that one has to decide which matching algorithm to choose and determine the region of common support. Subsequently, the matching quality has to be assessed and treatment effects and their standard errors have to be estimated. Furthermore, questions like ,what to do if there is choice-based sampling?' or ,when to measure effects?' can be important in empirical studies. Finally, one might also want to test the sensitivity of estimated treatment effects with respect to unobserved heterogeneity or failure of the common support condition. Each implementation step involves a lot of decisions and different approaches can be thought of. The aim of this paper is to discuss these implementation issues and give some guidance to researchers who want to use PSM for evaluation purposes. [source]


    Programme Evaluation with Multiple Treatments

    JOURNAL OF ECONOMIC SURVEYS, Issue 2 2004
    Markus Frölich
    Abstract., This paper reviews the main identification and estimation strategies for microeconometric policy evaluation. Particular emphasis is laid on evaluating policies consisting of multiple programmes, which is of high relevance in practice. For example, active labour market policies may consist of different training programmes, employment programmes and wage subsidies. Similarly, sickness rehabilitation policies often offer different vocational as well as non-vocational rehabilitation measures. First, the main identification strategies (control-for-confounding-variables, difference-in-difference, instrumental-variable, and regression-discontinuity identification) are discussed in the multiple-programme setting. Thereafter, the different nonparametric matching and weighting estimators of the average treatment effects and their properties are examined. [source]


    Fertility and Employment in Italy, France, and the UK

    LABOUR, Issue 2005
    Daniela Del Boca
    According to the agenda for employment set by the European Union in 2000 for the following 10 years, the target for female employment was set at 60 per cent for the year 2010. Although Northern and most Continental countries have achieved this quantitative target, the Mediterranean countries are lagging behind. Labor market policies should be aimed to encourage women's participation and reduce the cost of working. However, the persistence of a negative relationship between participation and fertility in these countries implies that it is important to take fertility into account. We analyse a model of labor supply and fertility, using data from the European Community Household Panel (ECHP) for the period 1994,2000, merged with regional data describing the available labor market opportunities in the households' environment. [source]


    Comparisons in Gender Wage Differentials and Discrimination between Germany and the United Kingdom

    LABOUR, Issue 3 2001
    Mick Brookes
    Due to the lack of consistent data, direct and robust comparisons of cross-country labour markets have been virtually impossible. This study uses a new panel data series that controls for inconsistencies, thus overcoming this problem. This study estimates gender wage differentials and gender discrimination in the German and UK labour markets. Panel estimates are used to identify general wage differences between the two countries, with cross-sectional comparisons undertaken to identify changes that have occurred between 1991 and 1993, that are consistent with known labour market policies. It is found that gender wage differentials are greater in the UK than Germany with employer discrimination against females attributed with the majority of the difference in both countries. [source]


    Labour Market Policy Developments in Japan: Following an Australian Lead?

    THE AUSTRALIAN ECONOMIC REVIEW, Issue 4 2005
    Noel Gaston
    In recent times, Japan has experienced a rapid expansion in its service sector, increases in casual and part-time employment and record unemployment. In addition, there has been an associated rise of freeters and NEETs,predominantly young workers with tenuous labour market attachment. While somewhat slow in initiating policy responses, the Japanese government responded to these structural changes by reforming its existing employment policies. In this article we argue that recent changes in the nature of Japan's labour market policies appear to have been driven by some of the same factors which led to the radical overhaul of Australia's own labour market policies. [source]


    Labour Market Policies and Long-term Unemployment in a Flow Model of the Australian Labour Market

    AUSTRALIAN ECONOMIC PAPERS, Issue 2 2003
    Ric D. Herbert
    This paper develops a general equilibrium job matching model, which is used to assess the impact of active labour market policies, reductions in unemployment benefits and reductions in worker bargaining power on long-term unemployment and other key macro variables. The model is calibrated using Australian data. Simulation experiments are conducted through impulse response analysis. The simulations suggest that active labour market programs (ALMPs) targeted at the long-term unemployed have a small net impact and produce adverse spillover effects on short-term unemployment. Reducing the level of unemployment benefits relative to wages and worker bargaining power have more substantial effects on total and long-term unemployment and none of the spillover effects of ALMPs. [source]


    One Hundred Years of British Minimum Wage Legislation

    BRITISH JOURNAL OF INDUSTRIAL RELATIONS, Issue 2 2009
    Simon Deakin
    The Trade Boards Act 1909 was a landmark in the development of minimum wage regulation in Britain and around the world. Although their powers were limited, the trade boards had immediate and tangible effects in terms of raising living standards, and over time they became a core part of the system of state support for collective wage determination. While influential overseas, the wages councils (as the trade boards became after 1945) were eventually seen as providing only a partial solution to the problem of low pay. In the 1980s, their powers were reduced under the influence of deregulatory labour market policies, prior to their abolition in 1993. The British national minimum wage (,NMW'), which was introduced in 1998, despite appearances, is not a universal national minimum of the kind which the Webbs and other Fabian writers argued for a century ago. Notwithstanding a growing consensus that the supposed negative economic effects of the minimum wage have not been borne out by the experience of the NMW, public policy has yet to take fully on board its potential benefits, including the reduction of social costs and the promotion of social partnership. [source]


    Delivering on the Potential of the New CAP

    EUROCHOICES, Issue 2 2005
    Mariann Fischer Boel
    Recent discussions on the CAP have focused on the budget. However, in the public debate the policy itself is often still a caricature of the old CAP that existed until the early 1990s. The CAP has changed fundamentally over the past decade. The recent direction of the CAP , markets and rural development , was set by the European Council in Göteborg and Lisbon. Strong economic performance must go hand in hand with the sustainable use of natural resources. The key elements of the new CAP are a market policy where intervention is a safety net, income stabilisation is delivered through decoupled aids subject to cross-compliance, and a reinforced rural development policy that focuses on jobs, growth and sustainability. We must use the new CAP to unlock the potential for growth, jobs and innovation and put good ideas into practice. We need to work in partnership with farmers, foresters, the agrifood business, NGOs, the population of rural areas, the research community and of course public authorities. But to achieve all of this we need a stable budgetary environment, in which farmers and businesses can plan. In short, we need the resources to deliver on the potential of the new CAP. Les discussions sur la PAC, récemment, se sont focalisées sur le budget. En même temps, le contenu politique de la réforme, tel qu'il est vu dans le débat public, n'est rien d'autre que la caricature de l'ancienne PAC telle qu'elle existait avant les années 90. Or, au cours de la dernière décennie, la PAC a radicalement changé. Son nouveau cours , axé sur les marchés et le développement rural , a été défini lors des conseils européens de Göteborg et de Lisbonne. Les bonnes performances économiques doivent aller de concert avec l'utilisation durable des ressources naturelles. Une politique de marché, pour laquelle l'intervention n'est qu'un filet de sécurité, une stabilisation des revenus qui prend la forme d'aides découplées sous réserve d'application de normes, un développement rural renforcé, enfin, centré sur les emplois, la croissance et la durabilité, voilà les clés de la nouvelle PAC. Celle-ci doit être utilisée pour déchaîner les possibilités en matière de croissance d'emplois, d'innovation et de durabilité. Il faut pour cela s'appuyer sur les agriculteurs, les forestiers, les industries agroalimentaires, les organisations non gouvernementales, les populations des zones rurales, les chercheurs, et bien sûr les autorités publiques. Mais pour réaliser tout cela, il faut encore un environnement budgétaire stable, permettant aux agriculteurs et aux industriels de planifi er leurs actions. En d'autres termes, il faut des ressources pour que la nouvelle PAC tienne ses promesses. Die jüngsten Diskussionen über die GAP konzentrierten sich auf den Haushalt. In der öffentlichen Debatte ist die Politik selbst jedoch häufig noch ein Zerrbild der alten GAP, wie diese sich bis in die frühen 1990er Jahre darstellte. In den letzten zehn Jahren hat sich die GAP von Grund auf verändert. Die jüngste Richtung der GAP , Märkte und die Entwicklung des ländlichen Raums , wurde vom Europäischen Rat in Göteborg und Lissabon vorgegeben. Eine hohe wirtschaftliche Leistungsfähigkeit muss mit der nachhaltigen Nutzung der natürlichen Ressourcen Hand in Hand gehen. Die Schlüsselelemente der neuen GAP sind eine Marktpolitik, in der die Intervention als Sicherheitsnetz dient und eine Einkommensstabilisierung mittels entkoppelter Beihilfen erfolgt, für die Cross Compliance gilt; sowie eine gestärkte Politik zur Entwicklung des ländlichen Raums, welche sich auf Arbeitsplätze, Wachstum sowie Nachhaltigkeit konzentriert. Wir müssen die neue GAP dazu verwenden, das Potenzial für Wachstum, Arbeitsplätze und Innovationen frei zu setzen, und gute Ideen in die Tat umsetzen. Wir müssen partnerschaftlich mit den Landwirten, Förstern, Unternehmen der Agrar- und Ernährungswirtschaft, Nicht-Regierungsorganisationen (NRG), der Landbevölkerung, der Forschungsgemeinschaft und natürlich der öffentlichen Verwaltung zusammen arbeiten. Dafür benötigen wir jedoch eine stabile Haushaltssituation, die es den Landwirten und Unternehmen ermöglicht zu planen. Kurzum: Wir benötigen die Ressourcen, um das Potenzial der GAP auszuschöpfen. [source]


    Family Reunification Rights of (Migrant) Union Citizens: Towards a More Liberal Approach

    EUROPEAN LAW JOURNAL, Issue 5 2009
    Alina Tryfonidou
    Over the years, in the case-law of the European Court of Justice (ECJ) determining the availability of family reunification rights for migrant Member State nationals, the pendulum has swung back and forth, from a ,moderate approach' in cases such as Morson and Jhanjan (1982) and Akrich (2003), towards a more ,liberal approach' in cases such as Carpenter (2002) and Jia (2007). Under the Court's ,moderate approach', family reunification rights in the context of the Community's internal market policy are only granted in situations where this is necessary for enabling a Member State national to move between Member States in the process of exercising one of the economic fundamental freedoms; in other words, where there is a sufficient link between the exercise of one of those freedoms and the need to grant family reunification rights under EC law. Conversely, under the Court's ,liberal approach', in order for family reunification rights to be bestowed by EC law, it suffices that the situation involves the exercise of one of the market freedoms and that the claimants have a familial link which is covered by Community law; in other words, there is no need to illustrate that there is a link between the grant of such rights and the furtherance of the Community's aim of establishing an internal market. The recent judgments of the ECJ in Eind and Metock (and its order in Sahin) appear to have decidedly moved the pendulum towards the ,liberal approach' side. In this article, it will be explained that the fact that the EU is aspiring to be not only a supranational organisation with a successful and smoothly functioning market but also a polity, the citizens of which enjoy a number of basic rights which form the core of a meaningful status of Union citizenship, is the major driving force behind this move. In particular, the move towards a wholehearted adoption of the ,liberal approach' seems to have been fuelled by a desire, on the part of the Court, to respond to a number of problems arising from its ,moderate approach' and which appear to be an anomaly in a citizens' Europe. These are: a) the incongruity caused between the (new) aim of the Community of creating a meaningful status of Union citizenship and the treatment of Union citizens (under the Court's ,moderate approach') as mere factors of production; and b) the emergence of reverse discrimination. The article will conclude with an explanation of why the adoption of the Court's liberal approach does not appear to be a proper solution to these problems. [source]


    Deploying the Classic ,Community Method' in the Social Policy Field: The Example of the Acquired Rights Directive

    EUROPEAN LAW JOURNAL, Issue 2 2009
    Gavin Barrett
    The use of the Community method of legislation, in particular the deployment of directives, has for a long time been at the core of EC labour market policy. This article seeks to reflect on the lessons to be learned from the experience of the adoption and operation of one particularly significant directive, namely the Acquired Rights Directive, and on the experience of its transposition in one Member State, Ireland. Among features noted at the EU level are the watering down of the Commission's initial legislative ambitions; the substantial lacunae, failures to address issues and ambiguities incorporated in the text of the directive, the consequent enlarged role for the Court of Justice and the apparent difficulty in changing policy direction in the event of errors being made. As regards the Irish experience of transposing the directive, lessons learnt have included the importance of the means of implementation chosen by the Member State; the obstructive effect which national industrial relations systems may have on the evolution of a common European approach; the significance which attaches to national sanctions and enforcement mechanisms; the importance attaching to the degree of collective organisation in workplaces where the implementing legislation is sought to be relied upon; and the potential which the implementation of a directive has for disruption of the harmony of a national policy approach. Finally, the use of a form of social dialogue in the implementation of employment-related directives in Ireland is also commented upon. [source]


    Time Inconsistency and Free-Riding in a Monetary Union

    JOURNAL OF MONEY, CREDIT AND BANKING, Issue 7 2008
    VARADARAJAN V. CHARI
    monetary regime; fixed exchange rates; dollarization; European Union; Maastricht Treaty In monetary unions, a time inconsistency problem in monetary policy leads to a novel type of free-rider problem in the setting of non-monetary policies. The free-rider problem leads union members to pursue lax non-monetary policies that induce the monetary authority to generate high inflation. Free-riding can be mitigated by imposing constraints on non-monetary policies. Without a time inconsistency problem, the union has no free-rider problem; then constraints on non-monetary policies are unnecessary and possibly harmful. This theory is here detailed and applied to several non-monetary policies: labor market policy, fiscal policy, and bank regulation. [source]


    The World Bank and Policy Reform in Mexico and Argentina

    LATIN AMERICAN POLITICS AND SOCIETY, Issue 1 2004
    Judith Teichman
    ABSTRACT This article examines the World Bank's role in the market policy reform experiences of Mexico and Argentina. It argues that while reform was driven by domestic elites, the bank played an important role, providing technical advice and financial support and helping to spread market reform ideas. The nature of the bank's involvement, however, differed substantially in the two countries because of their distinct political arrangements, histories, and geopolitical positions in regard to the United States. In the recent era of second-generation reforms, the World Bank's involvement in compensatory policy development has become more focused, although still more intense in Argentina than in Mexico. This involvement has important implications for the quality of democracy, insofar as the 1990s market reforms were formulated by insulated international policy networks unaccountable to the public. Recently, the bank has declared its commitment to involve civil society in its lending policies, a move that may have important implications for democratic development. [source]


    Labour force participation rates at the regional and national levels of the European Union: An integrated analysis*

    PAPERS IN REGIONAL SCIENCE, Issue 4 2007
    J. Paul Elhorst
    Space-time data; multilevel analysis; spatial autocorrelation; labour force participation; labour market policy Abstract., This study investigates the causes of variation in regional labour force participation rates in a cross-country perspective. A microeconomic framework of the labour force participation decision is aggregated across individuals to obtain an explanatory model of regional participation rates in which both regional-level and national-level variables serve as explanatory variables. An appropriate econometric model of random coefficients for the regional variables and fixed coefficients for the national variables is developed, further taking into account that observations may be correlated over time and in space and that some of the explanatory variables are not strictly exogenous. This model is estimated for men and for women, using annual 1983,1997 Eurostat data from 157 regions across 13 EU countries. The hypotheses that regional participation rates in the EU are determined by a common structure and that labour force participation can be encouraged by a common policy must be strongly rejected. [source]


    Was kann die Aktive Arbeitsmarktpolitik in Deutschland aus der Evaluationsforschung in anderen europäischen Ländern lernen?

    PERSPEKTIVEN DER WIRTSCHAFTSPOLITIK, Issue 2 2002
    Viktor Steiner
    Most evaluation studies for Germany's active labor market policy (ALMP) indicate that subsidized employment programs in the public sector (public works programs, "Arbeitsbeschaffungsmaßnahmen") and publicly funded training programs have, on average, no or even negative effects on individual re-employment probabilities. This paper provides possible explanations for the ineffectiveness of these programs, where we focus on heterogeneous treatment effects, which are not accounted for in the German evaluation studies due to lack of data, and locking-in effects, in particular related to the relatively high level of income support for participants in these programs. Since there is very little direct evidence on these effects for Germany to date, we draw on results from evaluation studies for other European countries. We argue that the success of ALMP is to a large extent determined by design features like the targeting of particular groups and the incentives from the co-ordination with unemployment insurance as well as the incentives of program administrators and local governments. [source]


    Feature: Employment Protection Legislation,

    THE ECONOMIC JOURNAL, Issue 521 2007
    Pierre Cahuc
    Employment protection legislation (EPL) is an important labour market policy whose strictness differs greatly across OECD countries. The collection of articles in this Feature provides new theoretical and empirical results which highlight the impact of EPL on productivity, job and firm turnover, (un)employment and the incidence of temporary contracts. Importantly, the effect of EPL is shown to differ across types of workers and firms. This yields new insights on the incentives for labour market reform. [source]


    Unionisation structures and innovation incentives*

    THE ECONOMIC JOURNAL, Issue 494 2004
    Justus Haucap
    This paper examines how different unionisation structures affect firms' innovation incentives and industry employment. We distinguish three modes of unionisation with increasing degree of centralisation: (1) ,decentralisation' where wages are determined independently at the firm-level, (2) ,coordination' where one industry union sets individual wages for all firms and (3) ,centralisation' where an industry union sets a uniform wage rate for all firms. While firms' investment incentives are largest under ,centralisation', investment incentives are non-monotone in the degree of centralisation: ,decentralisation' carries higher investment incentives than ,coordination'. Labour market policy can spur innovation by decentralising unionisation structures or through non-discrimination rules. [source]


    Active labour market policy in East Germany

    THE ECONOMICS OF TRANSITION, Issue 4 2009
    Waiting for the economy to take off
    Matching estimation; causal effects; programme evaluation; panel data Abstract We investigate the effects of the most important East German active labour market programmes on the labour market outcomes of their participants. The analysis is based on a large and informative individual database derived from administrative data sources. Using matching methods, we find that over a horizon of 2.5 years after the start of the programmes, they fail to increase the employment chances of their participants in the regular labour market. However, the programmes may have other effects for their participants that may be considered important in the especially difficult situation experienced in the East German labour market. [source]


    The Role of Government in the Expansion of the Contingent Workforce

    ASIAN POLITICS AND POLICY, Issue 2 2010
    Jiyoung Kim
    This article examines the government's role in expansion of the contingent workforce in South Korea. I argue that the government played a determining role in transforming the South Korean labor market and increasing the number of contingent workers. Through the active adoption of a flexible labor market policy as a part of its globalization movement, the South Korean government directly contributed to a rise in contingent work. Also, the South Korean government indirectly supported the expanded use of non-regular workers through its tacit approval of companies' illegal use of contingent workers. The existing literature on contingent workers has focused primarily on economic factors. This case study highlights the need to include the role of government as an important cause of the growth of the contingent workforce. [source]