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Crises and Joint Employment-Productivity Dynamics: A Comparative Perspective for European Countries

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Author Info

  • Enrico Marelli

    () (Faculty of Economics, Department of Economics, University of Brescia)

  • Marcello Signorelli

    () (Faculty of Political Sciences, Department of Economics, Finance and Statistics, University of Perugia)

  • Joanna Tyrowicz

    () (Faculty of Economic Sciences, University of Warsaw, National Bank of Poland, Rimini Centre for Economic Analysis)

Abstract

The aim of the paper is to investigate the short-term joint dynamics of productivity and employment during the economic down cycles in the EU economies over the past 20 years. Disentangling the shift in labour demand into a change of employment-productivity schedule and a movement along it, we focus on the last 2-3 crises, highlighting the peculiarities of the last recession. Namely, we demonstrate that many of the EU countries – unlike the United States –do not follow the RBC pattern. We also suggest some possible institutional fundamentals that could explain this phenomenon.

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File URL: http://www.wne.uw.edu.pl/inf/wyd/WP/WNE_WP37.pdf
File Function: First version, 2010
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Bibliographic Info

Paper provided by Faculty of Economic Sciences, University of Warsaw in its series Working Papers with number 2010-14.

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Length: 24 pages
Date of creation: 2010
Date of revision:
Handle: RePEc:war:wpaper:2010-14

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Keywords: recession; employment and productivity dynamics; RBC; labour hoarding;

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References

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  1. Kose, M. Ayhan & Prasad, Eswar & Terrones, Marco E., 2003. "How Does Globalization Affect the Synchronization of Business Cycles?," IZA Discussion Papers 702, Institute for the Study of Labor (IZA).
  2. Darvas, Zsolt & Szapáry, György, 2005. "Business Cycle Sychronization in the Enlarged EU," CEPR Discussion Papers 5179, C.E.P.R. Discussion Papers.
  3. Eichhorst, Werner & Feil, Michael & Marx, Paul, 2010. "Crisis, What Crisis? Patterns of Adaptation in European Labor Markets," IZA Discussion Papers 5045, Institute for the Study of Labor (IZA).
  4. Enrico Marelli & Marcello Signorelli, 2010. "Employment, productivity and models of growth in the EU," International Journal of Manpower, Emerald Group Publishing, vol. 31(7), pages 732-754, November.
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Cited by:
  1. Josef C Brada & Marcello Signorelli, 2012. "Comparing Labor Market Performance: Some Stylized Facts and Key Findings," Comparative Economic Studies, Palgrave Macmillan, vol. 54(2), pages 231-250, June.
  2. Jaan Masso & Kerly Krillo, 2011. "Labour Markets In The Baltic States During The Crisis 2008-2009: The Effect On Different Labour Market Groups," University of Tartu - Faculty of Economics and Business Administration Working Paper Series 79, Faculty of Economics and Business Administration, University of Tartu (Estonia).

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