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Skill Shortages and Skill Mismatch in Europe: A Review of the Literature

Author

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  • Brunello, Giorgio

    (University of Padova)

  • Wruuck, Patricia

    (European Investment Bank)

Abstract

Labour markets are currently in a phase of cyclical recovery and undergoing structural transformation due to globalisation, demographic trends, advancing digital technologies and automation and changes in labour market institutions. Against this background, businesses increasingly report that the limited availability of skills poses an impediment to corporate investment. Genuine skill constraints can negatively affect labour productivity and hamper the ability to innovate and adopt technological developments. For individual Europeans, not having "the right skills" limits employability prospects and access to quality jobs. For Europe at large, persistent skill gaps and mismatches come at economic and social costs. This paper reviews the recent economic literature on skill mismatch and skill shortages with a focus on Europe a focus on Europe.

Suggested Citation

  • Brunello, Giorgio & Wruuck, Patricia, 2019. "Skill Shortages and Skill Mismatch in Europe: A Review of the Literature," IZA Discussion Papers 12346, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp12346
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    References listed on IDEAS

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    3. Nik Dawson & Marian-Andrei Rizoiu & Benjamin Johnston & Mary-Anne Williams, 2020. "Predicting Skill Shortages in Labor Markets: A Machine Learning Approach," Papers 2004.01311, arXiv.org, revised Aug 2020.
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    5. tobias König & thomas Brenner, 2022. "Skill shortages and industry clusters – Empirical evidence from German establishment data," IAW Discussion Papers 140, Institut für Angewandte Wirtschaftsforschung (IAW).
    6. Andrew Weaver, 2021. "Hiring Frictions in a Regulated Occupation: Evidence from US Laboratories," British Journal of Industrial Relations, London School of Economics, vol. 59(3), pages 899-927, September.
    7. Konstantinos Mavrigiannakis & Andreas Vasilatos & Eugenia Vella, 2023. "Fiscal Tightening and Skills Mismatch," DEOS Working Papers 2313, Athens University of Economics and Business.
    8. Högberg, Björn, 2021. "Educational stressors and secular trends in school stress and mental health problems in adolescents," Social Science & Medicine, Elsevier, vol. 270(C).
    9. Debelak, Katja & Penger, Sandra & Grah, Barbara, 2022. "Leadership in an Ageing Society and the Brain: Applying Neuroscience to Leadership," Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (2022), Hybrid Conference, Opatija, Croatia, in: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Hybrid Conference, Opatija, Croatia, 17-18 June 2022, pages 64-79, IRENET - Society for Advancing Innovation and Research in Economy, Zagreb.
    10. Florent Bordot & Andre Lorentz, 2021. "Automation and labor market polarization in an evolutionary model with heterogeneous workers," LEM Papers Series 2021/32, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
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    More about this item

    Keywords

    Europe; mismatch; shortages; skill;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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