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Why Is Spanish Unemployment So High?

Author

Listed:
  • Juan J. Dolado
  • Juan F. Jimeno

Abstract

In this paper we analyse the underlying causes behind Spanish unemployment which is now at 24%. We interpret this unfortunate outcome as the result of a series of adverse shocks, compounded by disinflationary policies and by a flawed system of labour market institutions. Our aim is to explain the main sources of shocks to unemployment, and the most relevant features of their transmission mechanism. To do so we use a structural VAR approach in modelling the Spanish labour market.
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Suggested Citation

  • Juan J. Dolado & Juan F. Jimeno, 1995. "Why Is Spanish Unemployment So High?," Working Papers wp1995_9515, CEMFI.
    • Handle: RePEc:cmf:wpaper:wp1995_9515
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    Cited by:

    1. José Ignacio García Pérez & Yolanda Rebollo Sanz, 2005. "A Structural Estimation to Evaluate the Wage Penalty after Unemployment in Europe," Economic Working Papers at Centro de Estudios Andaluces E2005/15, Centro de Estudios Andaluces.
    2. Dobrescu, Emilian, 2006. "Macromodel of the Romanian market economy (version 2005)," MPRA Paper 35749, University Library of Munich, Germany.
    3. Echavarría-Soto, Juan José & López, Enrique & Ocampo, Sergio & Rodríguez-Niño, Norberto, 2012. "Choques, instituciones laborales y desempleo en Colombia," Chapters, in: Arango-Thomas, Luis Eduardo & Hamann-Salcedo, Franz Alonso (ed.), El mercado de trabajo en Colombia : hechos, tendencias e instituciones, chapter 18, pages 753-794, Banco de la Republica de Colombia.
    4. Roberto Bande, 2002. "Ajustes Dinámicos en las Tasas de Paro: España vs. Portugal," Documentos de trabajo - Analise Economica 0020, IDEGA - Instituto Universitario de Estudios e Desenvolvemento de Galicia.
    5. Puhani, Patrick A., 1997. "All Quiet on the Wage Front? Gender, Public-Private Sector Issues, and Rigidities in the Polish Wage Structure," ZEW Discussion Papers 97-03, ZEW - Leibniz Centre for European Economic Research.
    6. Alba, Alfonso, 1996. "Labor market effects of fixed-term employment contracts in Spain," UC3M Working papers. Economics 4105, Universidad Carlos III de Madrid. Departamento de Economía.
    7. Emilian Dobrescu, 2006. "Integration of Macroeconomic Behavioural Relationships and the Input-output Block (Romanian Modelling Experience)," EcoMod2006 272100018, EcoMod.
    8. Mark S Astley & Tony Yates, 1999. "Inflation and real disequilibria," Bank of England working papers 103, Bank of England.
    9. Alba, Alfonso, 1997. "How temporary is temporary employment in Spain?," UC3M Working papers. Economics 7215, Universidad Carlos III de Madrid. Departamento de Economía.
    10. Dobrescu, Emilian, 2006. "Double-Conditioned Potential Output," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 3(1), pages 32-50, March.
    11. Bogna Gawrońska-Nowak & Katarzyna Skorupińska, 2006. "Elastyczność rynku pracy a charakter instytucji w krajach europejskich," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 3, pages 23-40.
    12. Cabrales, Antonio & Hopenhayn, Hugo A., 1997. "Labor-market flexibility and aggregate employment volatility," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 46(1), pages 189-228, June.

    More about this item

    JEL classification:

    • E6 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook
    • J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
    • J4 - Labor and Demographic Economics - - Particular Labor Markets
    • J5 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining

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