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Unemployment Persistence and the Unemployment-Productivity Relation

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  • Snower, Dennis J.

Abstract

This paper explores the interrelation between the degree of unemployment persistence and the unemployment-productivity trade-off. The analysis suggests that the more effective are structural labour market policies (designed to change labour market institutions and laws, such as job security legislation) in making wages and prices more responsive to current unemployment and making unemployment less persistent, the less effective will be the growth-promoting supply-side policies (such as training schemes) in reducing unemployment.

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File URL: http://www.cepr.org/pubs/dps/DP958.asp
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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 958.

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Date of creation: Jul 1994
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Handle: RePEc:cpr:ceprdp:958

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Keywords: Inflation; Productivity; Unemployment; Unemployment Persistence;

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Cited by:
  1. García, José Ramón & Sala, Hector, 2006. "The Tax System Incidence on Unemployment: A Country-Specific Analysis for the OECD Economies," IZA Discussion Papers 2226, Institute for the Study of Labor (IZA).

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