The Political Economy of Full Employment in Modern Britain
AbstractThis paper examines the regional aspects of structural change and unemployment in the UK. Manufacturing decline has severely hit the industrial conurbations of the North. Although reflecting long-run trends, this decline has been exacerbated by poor macroeconomic management. New service jobs have been created but most of these are in the South. This growing North-South divide is reflected in a southward drift of population. The extent of the northern decline is masked by government expenditures that help to maintain employment in depressed areas. But this is only a temporary solution. As population drifts away from the depressed areas, public expenditures will eventually be cut, causing further loss of employment and population in these areas. Using a simple export base model, the paper quantifies the underlying decline of the northern economy. In relative terms, this decline has been almost as fast in the 1990s as in the previous decade of industrial crisis.
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Bibliographic InfoPaper provided by ESRC Centre for Business Research in its series ESRC Centre for Business Research - Working Papers with number wp164.
Date of creation: Mar 2000
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Web page: http://www.cbr.cam.ac.uk/
Unemployment; Structural Change; Migration; Regions;
Find related papers by JEL classification:
- J60 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - General
- R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
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- Cameron, G. & Muellbauer, J. & Snicker, J., 2001.
"A Study In Structural Change: Relative Earnings In Wales Since The 1970s,"
Economics Series Working Papers
9961, University of Oxford, Department of Economics.
- Gavin Cameron & John Muellbauer & Jonathan Snicker, 2002. "A Study in Structural Change: Relative Earnings in Wales Since the 1970s," Regional Studies, Taylor & Francis Journals, vol. 36(1), pages 1-11.
- Gavin Cameron & John Muellbauer, 2001. "A Study in Structural Change: Relative Earnings in Wales Since the 1970s," Economics Series Working Papers 61, University of Oxford, Department of Economics.
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