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The Youth Experience Gap: Explaining Differences across EU Countries

Author

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  • Floro Ernesto Caroleo
  • Francesco Pastore

Abstract

This note aims to provide a theoretical framework to think of the youthunemployment problem and a classification of EU countries according to the way they address it.The key factor to explain youth unemployment is what we call the youth experience gap. To helpyoung people fill it in and ease school-to-work transitions, every EU country provides a mix ofpolicy instruments, including different degrees and types of labour market flexibility, of educationaland training systems, of passive income support schemes and fiscal incentives. Five differentcountry groups are detected whose outcomes in terms of youth unemployment are dramaticallydifferent: a) the North-European; b) the Continental European; c) the Anglo-Saxon; d) the South-European; e) New Member States. The Lisbon strategy provides guidelines in line with thetheoretical framework discussed here, but it is costly and hard to implement.

Suggested Citation

  • Floro Ernesto Caroleo & Francesco Pastore, 2007. "The Youth Experience Gap: Explaining Differences across EU Countries," Quaderni del Dipartimento di Economia, Finanza e Statistica 41/2007, Università di Perugia, Dipartimento Economia.
  • Handle: RePEc:pia:wpaper:41/2007
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    File URL: http://www.ec.unipg.it/DEFS/uploads/quaderno41web_001.pdf
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    References listed on IDEAS

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    1. Quintini, Glenda & Martin, John P. & Martin, Sébastien, 2007. "The Changing Nature of the School-to-Work Transition Process in OECD Countries," IZA Discussion Papers 2582, Institute for the Study of Labor (IZA).
    2. Gary S. Becker, 1962. "Investment in Human Capital: A Theoretical Analysis," Journal of Political Economy, University of Chicago Press, vol. 70, pages 1-9.
    3. World Demographic and Ageing Forum & Glenda Quintini & John P. Martin & Sébastien Martin, 2007. "The changing nature of the school-to-work transition process in OECD countries," Journal Article y:2007:i:1, World Demographic and Ageing Forum.
    4. Alison L. Booth & Marco Francesconi & Jeff Frank, 2002. "Temporary Jobs: Stepping Stones Or Dead Ends?," Economic Journal, Royal Economic Society, vol. 112(480), pages 189-213, June.
    5. Guell, Maia & Petrongolo, Barbara, 2007. "How binding are legal limits? Transitions from temporary to permanent work in Spain," Labour Economics, Elsevier, vol. 14(2), pages 153-183, April.
    6. Kim B. Clark & Lawrence H. Summers, 1982. "The Dynamics of Youth Unemployment," NBER Chapters,in: The Youth Labor Market Problem: Its Nature, Causes, and Consequences, pages 199-234 National Bureau of Economic Research, Inc.
    7. Luca Nunziata & Stefano Staffolani, 2007. "Short-Term Contracts Regulations And Dynamic Labour Demand: Theory And Evidence," Scottish Journal of Political Economy, Scottish Economic Society, vol. 54(1), pages 72-104, February.
    8. Pastore, Francesco, 2005. "To Study or to Work? Education and Labour Market Participation of Young People in Poland," IZA Discussion Papers 1793, Institute for the Study of Labor (IZA).
    9. Heckman, James J & Borjas, George J, 1980. "Does Unemployment Cause Future Unemployment? Definitions, Questions and Answers from a Continuous Time Model of Heterogeneity and State Dependence," Economica, London School of Economics and Political Science, vol. 47(187), pages 247-283, August.
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    More about this item

    Keywords

    Youth Unemployment Problem; Youth Experience gap; Youth Employment Policy; Lisbon Strategy;

    JEL classification:

    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • I2 - Health, Education, and Welfare - - Education
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy

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