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High Unemployment (high + unemployment)
Selected AbstractsUnemployment clusters across Europe's regions and countriesECONOMIC POLICY, Issue 34 2002Henry G. Overman Summary High unemployment and regional inequalities are major concerns for European policy-makers, but so far connections between policies dealing with unemployment and regional inequalities have been few and weak. We think that this should change. This paper documents a regional and transnational dimension to unemployment , i.e., geographical unemployment clusters that do not respect national boundaries. Since the mid 1980s, regions with high or low initial unemployment rates saw little change, while regions with intermediate unemployment moved towards extreme values. During this polarization, nearby regions tended to share similar outcomes due, we argue, to spatially related changes in labour demand. These spatially correlated demand shifts were due in part to initial clustering of low-skilled regions and badly performing industries, but a significant neighbour effect remains even after controlling for these, and the effect is as strong within as it is between nations. We believe this reflects agglomeration effects of economic integration. The new economic geography literature shows how integration fosters employment clusters that need not respect national borders. If regional labour forces do not adjust, regional unemployment polarization with neighbour effects can result. To account for these ,neighbour effects' a cross-regional and transnational dimension should be added to national anti-unemployment policies. Nations should consider policies that encourage regional wage setting, and short distance mobility, and the EU should consider including transnational considerations in its regional policy, since neighbour effects on unemployment mean that an anti-unemployment policy paid for by one region will benefit neighbouring regions. Since local politicians gain no votes or tax revenues from these ,spillovers', they are likely to underestimate the true benefit of the policy and thus tend to undertake too little of it. [source] The Breadwinner, his Wife and their Welfare: Identity, Expertise and Economic Security in Australian Post-War ReconstructionAUSTRALIAN JOURNAL OF POLITICS AND HISTORY, Issue 4 2004Ann Firth The architects of Australian post-war reconstruction had learned from the experience of the Depression that subordinating the social order to economic objectives could have disastrous results. In Australia as elsewhere, interwar political and civic institutions were not sufficiently robust to protect society from the instability of a system based on the economically rational choices of individual entrepreneurs. High unemployment, which had characterised the interwar years and reached catastrophic levels in the Depression, convinced the architects of post-war reconstruction that new political institutions were necessary. The civil and political institutions they attempted to create were expressed in a particular anthropology constituted around their own identity as experts and the identities of the entrepreneur, the breadwinner and his wife. [source] Would you like to shrink the welfare state?ECONOMIC POLICY, Issue 32 2001A survey of European citizens The fundamental problems facing European welfare states , high unemployment and unsustainable public pensions plans in particular , have been in the political debate for years, so why have we seen so little reform? To find out, we surveyed the opinions of citizens in France, Germany, Italy and Spain on their welfare states and on various reform options. This is what we found. First, most workers underestimate the costs of public pensions, though they are aware of their unsustainability. Second, the status quo is a majoritarian outcome: a majority of citizens opposes cuts to social security and welfare spending, but also opposes further increases. Since population ageing without reform implies an automatic expansion, our results suggest that most citizens would favour reforms that stabilize but do not shrink the current welfare states. Third, many would welcome changes in the allocation of benefits. A large number of workers in Italy and Germany would be willing to opt out of public pensions and replace them with private pensions, though the details of how this scheme is formulated matter for its popularity. And many Italians and Spaniards would welcome an extension of the coverage of unemployment insurance. Fourth, conflicts over the welfare state are mainly shaped by the economic situation of the respondent, while political ideology plays a limited role. Disagreements are found along three dimensions: young versus old, rich versus poor, and ,outsider' versus ,insider' in terms of labour market status. From a practical point of view, this suggests that there is scope to bundle reforms strategically in order to build a large and mixed coalition of supporters. , Tito Boeri, Axel Börsch-Supan and Guido Tabellini [source] From ,welfare without work' to ,buttressed liberalization': The shifting dynamics of labor market adjustment in France and GermanyEUROPEAN JOURNAL OF POLITICAL RESEARCH, Issue 3 2008MARK 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] Will only an earthquake shake up economics?INTERNATIONAL LABOUR REVIEW, Issue 2 2010Ronald SCHETTKAT Abstract. "Natural rate theory", the Efficient Market Hypothesis and its labour market application dominated interpretations of economic trends and policy prescriptions from the 1970s onwards, with their views of public policy and regulation as distorting otherwise well-functioning free markets. The upheaval of the current crisis is shaking these theories to the core. In this context, Schettkat examines European experience from the 1990s onwards and shows the theories to be unsubstantiated: high unemployment persisted post-recession despite structural reforms to labour market institutions, and the resumption of economic growth was hindered by then-dominant deflationary monetary and fiscal policies inspired by these theories. [source] Chipping Away at the Fortress: Unions, Immigration and the Transnational Labour MarketINTERNATIONAL MIGRATION, Issue 2 2000Gamze Avci Conventional wisdom holds that in liberal industrialized countries, times of economic recession and high unemployment create pressures for restrictive immigration legislation, proposals which will be supported by trade unions as a means of safeguarding their interests. Drawing on a case study of British trade union opposition to the 1996 Asylum and Immigration Act, this article argues that trade unions, which traditional interpretation suggests support such protectionist measures, are actually at the forefront of opposition to them. We suggest that the increased transnationalization of labour markets, combined with the particular nature of the legislative response, had led unions to adopt this apparently paradoxical position. [source] A post Keynesian critique of privatization policies in transition economiesJOURNAL OF INTERNATIONAL DEVELOPMENT, Issue 5 2002John Marangos The privatization policies implemented in transition economies were based on the neoclassical principles of economic thought. The neoclassical privatization policies contributed to the well-known results of a large reduction in output, high unemployment and inflation and a breakdown of institutional norms resulting in corruption and illegal activities. For the post Keynesians, there could have been a transition to a market economy without a substantial change in property ownership. This was because ownership, as such, was less important than competition, the incentive structure and the nature of regulatory policies. Consequently, post Keynesian policies of privatization would had resulted in a substantially smaller social cost of transition. Copyright © 2002 John Wiley & Sons, Ltd. [source] The Role of Family Ties in the Labour Market.LABOUR, Issue 4 2001An Interpretation Based on Efficiency Wage Theory By casual empiricism, it seems that many firms take explicit account of the family ties connecting workers, often hiring individuals belonging to the same family or passing jobs on from parents to their children. This paper makes an attempt to explain this behaviour by introducing the assumption of altruism within the family and supposing that agents maximize a family utility function rather than an individual one. This hypothesis has been almost ignored in the analysis of the relationship between employers and employees. The implications of this assumption in the efficiency wage models are explored: by employing members of the same family, firms can use a (credible) harsher threat , involving a sanction for all the family's members in case of one member's shirking , that allows them to pay a lower efficiency wage. On the other hand, workers who accept this agreement exchange a reduction in wage with an increase in their probability of being employed: this can be optimal in a situation of high unemployment. Moreover, the link between parents and children allows the firm to follow a strategy that solves the problem of an individual's finite time horizon by its making use of the family's reputation. [source] Erfordernisse und Grenzen staatlicher Risikoübernahme in der MarktwirtschaftPERSPEKTIVEN DER WIRTSCHAFTSPOLITIK, Issue 4 2005Georg Milbradt Firstly, we shall explore to what extent the state should cover private risks through its social security system. Secondly, we discuss the situation in Germany, with special regard to the question whether Germany's current economic problems , stagnation and high unemployment , are caused by the growth of benefits provided by Social Security and the pay-as-you-go funding method. Thirdly, we look at risk coverage from the perspective of political economics. Polls show that the Germans increasingly mistrust the market mechanism. How, then, can the state reduce its coverage of individual risks and harness market forces instead of providing a minimum of social security? [source] Das Bündnis für Arbeit , Ein Weg aus der institutionellen Verflechtungsfalle?PERSPEKTIVEN DER WIRTSCHAFTSPOLITIK, Issue 4 2001Norbert Berthold Persistently high unemployment is still the most urgent problem confronting policymakers in many continental European countries. Policymakers were not idle but their activities often treated the symptoms rather than the real causes of the malaise in labor markets. A prerequisite for solving the unemployment problem is pushing for more competition in all markets, but in particular in the labor market. However, lack of competition allows insiders to capture rents, thus making them opposed to a rigorous competitive policy approach. It is often suggested that corporatism would be an alternative and possibly even superior solution, i.e., tripartist agreements involving unions, employer associations and the government. The paper argues that this is not the case. Rather, corporatism leads to even less competition and opens additional channels for externalizing the burden of adjustment to exogenous shocks on future generations and on taxpayers at large via the social security system. Globalization might in contrast help to overcome the problem because there are fewer rents to be captured by insiders, and more open goods and factor markets make labor demand more elastic, thus enforcing more moderate wage setting and more flexible wage structures. [source] Transfer of occupational health problems from a developed to a developing country: Lessons from the Japan,South Korea experience,AMERICAN JOURNAL OF INDUSTRIAL MEDICINE, Issue 8 2009Jungsun Park MD Abstract Many corporations move their manufacturing facilities or technologies from developed to developing countries. Stringent regulations have made it costly for industries to operate in developed, industrialized countries. In addition, labor costs are high in these countries, and there is increasing awareness among the general public of the health risks associated with industry. The relocation of hazardous industries to developing countries is driven by economic considerations: high unemployment, a cheaper labor force, lack of regulation, and poor enforcement of any existing regulations make certain countries attractive to business. The transfer of certain industries from Japan to Korea has also brought both documented occupational diseases and a new occupational disease caused by chemicals without established toxicities. Typical examples of documented occupational diseases are carbon disulfide poisoning in the rayon manufacturing industry, bladder cancer in the benzidine industry, and mesothelioma in the asbestos industry. A new occupational disease due to a chemical without established toxicities is 2-bromopropane poisoning. These examples suggest that counter-measures are needed to prevent the transfer of occupational health problems from a developed to a developing country. Corporate social responsibility should be emphasized, close inter-governmental collaboration is necessary and cooperation among non-governmental organizations is helpful. Am. J. Ind. Med. 52:625,632, 2009. © 2009 Wiley-Liss, Inc. [source] On Integrating Immigrants in GermanyPOPULATION AND DEVELOPMENT REVIEW, Issue 3 2006Article first published online: 8 SEP 200 Immigration to Germany in the decades following World War II made the Federal Republic the host of the largest number of immigrants in Europe. The size of the population with an immigration background is on the order of 15 million, nearly one-fifth of the total population. (Many of these are ethnic German returnees.) Although restrictive policies and a less dynamic economy in recent years slowed the annual number of immigrants and asylum seekers, the interrelated demographic influences of very low fertility, negative natural population increase, and population aging make continuing future immigration likely and, judged by influential domestic interests, desirable. Anxieties about inadequate integration of immigrants in German society are, however, apparently strongly felt by large segments of the native population. The "Grand Coalition" government that took office in November 2005 considers the formation of an effective policy of integration a high priority. On 14 July 2006 an "Integration Summit" was convened in the Chancellery with the active participation of representatives of immigrant groups. Chancellor Angela Merkel called the Summit "an almost historical event." Reproduced below in full is a non-official English translation of a government statement (entitled "Good coexistence,Clear rules") presented to the participants at the opening of the meeting. Intended as a "start of the development of a national integration plan," the statement highlights existing deficiencies of integration, especially problems with second- and third-generation immigrants: lack of mastery of the German language, weaknesses in education and training, high unemployment, lack of acceptance of the basic rules of coexistence, and violation of the law. The importance of these issues is underlined by a demographic fact noted in the statement: by 2010 it is expected that in Germany's large cities 50 percent of the population under age 40 will have an immigrant background. The statement recognizes the government's responsibility to help immigrants learn German and become better informed about the country's laws, culture, history, and political system. In turn, it demands reciprocal efforts from migrants living permanently and lawfully in Germany. The original German text of the statement is available at the Bundeskanzleramt home page: «http://www.bundesregierung.d» [source] Promoting Infant Health Through Home Visiting By a Nurse-Managed Community Worker TeamPUBLIC HEALTH NURSING, Issue 4 2001Cynthia Barnes-Boyd R.N., Ph.D. This article describes the Resources, Education and Care in the Home program (REACH-Futures), an infant mortality reduction initiative in the inner city of Chicago built on the World Health Organization (WHO) primary health care model and over a decade of experience administering programs to reduce infant mortality through home visits. The program uses a nurse-managed team, which includes community residents selected, trained, and integrated as health advocates. Service participants were predominately African American families. All participants were low-income and resided in inner-city neighborhoods with high unemployment, high teen birth rates, violent crime, and deteriorated neighborhoods. Outcomes for the first 666 participants are compared to a previous home-visiting program that used only nurses. Participant retention rates were equivalent overall and significantly higher in the first months of the REACH-Futures program. There were two infant deaths during the course of the study, a lower death rate than the previous program or the city. Infant health problems and developmental levels were equivalent to the prior program and significantly more infants were fully immunized at 12 months. The authors conclude that the use of community workers as a part of the home-visiting team is as effective as the nurse-only team in meeting the needs of families at high risk of poor infant outcomes. This approach is of national interest because of its potential to achieve the desired outcomes in a cost-effective manner. [source] It's the Economy Stupid: Macroeconomics and Federal Elections in AustraliaTHE ECONOMIC RECORD, Issue 235 2000LISA CAMERON In this paper we examine the impact of macroeconomic conditions on Federal electoral performance in 20th-century Australia. We find that the electorate penalizes a government for high inflation and high unemployment relative to trend. Real GDP growth and real wage growth were not found to have a systematic relationship with incumbent vote share at the Federal level. We also examine the voteshare of the Federal incumbent in three electorates: the safe Liberal seat of Kooyong, the safe Labor seat of Melbourne Pans, and the swinging seat of Latrobe. We find some evidence that unemployment affects electoral outcomes in the swinging seat, but no macroeconomic variables affect outcomes in the safe seats. [source] Regional unemployment and its persistence in transition countries1THE ECONOMICS OF TRANSITION, Issue 2 2006Fabian Bornhorst transition; regional unemployment; mobility Abstract We look at the differences in regional unemployment rates in six major transition countries and their persistence over time. We analyse the role various adjustment mechanisms play. While movement out of the labour force seems to be one consequence in many regions with high relative unemployment, there are also signs of emerging wage flexibility. Employment creation, by contrast, has not picked up in regions of high unemployment. Labour mobility also remains very limited in size although it appears to respond to basic economic incentives. Policies addressing housing market imperfections and information asymmetries are necessary to increase worker mobility and to integrate better national labour markets. [source] Optimal speed of transition with a shrinking labour force and under uncertainty*THE ECONOMICS OF TRANSITION, Issue 1 2006Randolph 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] |