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Structural Change and Labour Reallocation Across Regions: A Review of the Literature

In: The Labour Market Impact of the EU Enlargement. A New Regional Geography of Europe?

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Author Info

  • Floro Ernesto Caroleo

    (Università di Napoli Parthenope)

  • Francesco Pastore

    (Seconda Università di Napoli)

Abstract

The focus of this chapter is on the microeconomic foundations of structural change and its spatially asymmetric impact on labour markets. EU economies are undergoing dramatic industrial restructuring due to a number of causes, such as the Eastward enlargement and economic integration of Central and Eastern European countries, as well as a more general process of integration of emerging economies into world trade. In turn this is causing technical change, relocation of economic activities and reallocation of capital and labour resources. An overly optimistic view of the ability of the market economy to sustain economic development has long neglected the labour market consequences of structural change, but the availability of new data sets and the specific nature of economic transition in new member states has once again brought this issue to the fore, suggesting that it might also provide an explanation of several typical features of regional imbalances in old member states. The old and new literature suggests theoretical reasoning and empirical evidence to confirm this.

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Bibliographic Info

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This chapter was published in:

  • Floro Ernesto Caroleo & Francesco Pastore (ed.), 2010. "The Labour Market Impact of the EU Enlargement. A New Regional Geography of Europe?," AIEL Series in Labour Economics, AIEL - Associazione Italiana Economisti del Lavoro, number 04.
    This item is provided by AIEL - Associazione Italiana Economisti del Lavoro in its series AIEL Series in Labour Economics with number 04-02.

    Handle: RePEc:ail:chapts:04-02

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    Web page: http://www.aiel.it/
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    Related research

    Keywords: Structural Change; Labour Turnover; Regional Unemployment; Optimal Speed of Transition; Eastward Enlargement of the EU.;

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    Cited by:
    1. Francesco Pastore, 2012. "Primum vivere . . . industrial change, job destruction and the geographical distribution of unemployment," IZA Journal of European Labor Studies, Springer, vol. 1(1), pages 1-15, December.
    2. Roberto Basile & Alessandro Girardi & Marianna Mantuano & Francesco Pastore, 2012. "Sectoral shifts, diversification and regional unemployment: evidence from local labour systems in Italy," Empirica, Springer, vol. 39(4), pages 525-544, November.
    3. Pastore, Francesco & Tyrowicz, Joanna, 2012. "Labour Turnover and the Spatial Distribution of Unemployment: A Panel Data Analysis Using Employment Registry Data," IZA Discussion Papers 7074, Institute for the Study of Labor (IZA).
    4. Jauer, Julia & Liebig, Thomas & Martin, John P. & Puhani, Patrick A., 2014. "Migration as an Adjustment Mechanism in the Crisis? A Comparison of Europe and the United States," IZA Discussion Papers 7921, Institute for the Study of Labor (IZA).
    5. Mussida, Chiara & Pastore, Francesco, 2012. "Is There a Southern-Sclerosis? Worker Reallocation and Regional Unemployment in Italy," IZA Discussion Papers 6954, Institute for the Study of Labor (IZA).
    6. Francesco Pastore & Joanna Tyrowicz, 2013. "Polish high unemployment and spatial labor turnover. Insights from panel data analysis using unemployment registry data," Working Papers 2013-18, Faculty of Economic Sciences, University of Warsaw.
    7. Pastore, Francesco, 2013. "Primum vivere… Industrial Change, Job Destruction and the Geographical Distribution of Unemployment," IZA Discussion Papers 7126, Institute for the Study of Labor (IZA).

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