Regional Input: Labour Markets (original) (raw)
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The Eastern Enlargement of the Eurozone and Labour Market Adjustment
2002
This paper analyses the economic effects of the eastern enlargement of the EU both on the existing Member States and the candidate countries using simulation results of a dynamic computable general equilibrium model. In addition to conventional trade policy impacts such as custom union formation and common agricultural policy the effects of factor mobility, induced by institutional changes, are analyzed. The analysis is based on six different scenarios. According to the results EU membership will accelerate growth in output, investment and consumption in the candidate countries in all scenarios. However, it turns out that factor mobility effects dominate those of conventional trade policy. Growth in national income will lag behind GDP growth because profits will be paid out to foreign investors. Migration will slow output growth in the candidate countries and accelerate growth in the existing Member States, while the trends in per capita consumption will be reversed; migration increases per capita consumption in the new Member States and reduces it slightly in the existing ones.
The Enlargement of European Union and Labor Market: Trends and Challenges
http://digitalcommons.ilr.cornell.edu/intlvf/8, 2005
The main topic of this paper is the inter-relations between the European labor markets and the Eastern Enlargement. Several issues will be examined throughout the paper, namely the current challenges and problems of the EU labor markets, their impacts on the overall competitiveness of the European economy, and the possible effects of the Eastern enlargement on both of these. The main question to be asked throughout paper is that if the eastern enlargement will be able to create a positive environment on solution of the problems of the European labor market and if it will help to increase the competitiveness of the European economy. The general idea of the writer on the topic is that the Eastward enlargement will be able to provide only a very little support to the solution of problems of the European labor markets. The possible negative effects of the widening of the EU borders on the EU labor markets in terms of unemployment and wage-cuts will be also considerably small. On the other hand, the labor markets of the new EU members will be able to benefit from continuing foreign investment and alignment of the national social policies to the EU ones. Regarding the competitiveness of the EU economy, the writer argues that impacts of the eastern enlargement on the competitiveness might be significant in the short term but taking into account the structural problems of the EU economy and the significance of the international challenges ahead they will be insufficient in the long run. Keywords: EU, Labor, Labor Market.
A Structural Approach to the European Labour Market
Labour, 1990
The structure of the European labour market is highly differentiated by geographical area. If the 1992 integration is likely to induce short-medium term adjustment effects on employment, these will mostly affect regional labour markets. Negative adjustments will follow different distribution patterns, probably exacerbating current regional disequilibria. On the other hand, still little known are the geographical features of the European economic, social and production structures. Although many studies have recently concentrated on the analysis of local labour markets, few of them have addressed the issue of Community regions. Through multivariate and cluster analyses of structural data on regional labour markets, the paper offers a confirmation of the explanatory power of local market analysis, as applied to the European area. The structural features of each elementary area are captured by three factors only, that allow the construction of a coherent classification of EEC regions in four major clusters. This classification is used to identify the "weak areas" that, after a reconsideration in unified terms of European cooperation policies, should be the object of new development interventions.
Quantity adjustments in the regional labour markets of EU candidate countries
Papers in Regional Science, 2005
The article comprises an analysis of the adjustment of regional labour markets of former (and present) EU candidate countries to asymmetric shocks. As in EU member states, a substantial part of the adjustment to changes in employment in candidate countries is carried by participation decisions, and migration plays a small role. Candidate countries, however, have experienced larger regionspecific shocks to labour demand than member states, and these shocks lead to higher long-run changes in employment. Furthermore, adjustment mechanisms partly explain high regional unemployment. High unemployment regions exhibit a lower capability to absorb region-specific shocks through mechanisms other than higher unemployment. JEL classification: E24, R11, P25
2011
This paper provides a critical overview and a detailed research agenda for scholars interested in regional studies with a special focus on old and new European Union member states. The focus is on the microeconomic foundations of structural change and its spatially asymmetric impact on labour markets. Structural change has been long neglected, but the availability of new data and the specific nature of economic transition in new member states has brought again this issue to the fore, suggesting that it might provide an explanation also of several typical features of regional imbalances in old member states. The literature provides theoretical reasoning and empirical evidence to confirm this. JEL Classification: J6, P2, R1, R23