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Inhaltsbereich: Institut für Arbeitsmarkt- und Berufsforschung

Structural change and unemployment

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Abstract

"Regional unemployment rates show large disparities which cannot be explained by different institutional settings. In the paper these disparities are related to the specialisation of regions. It can be shown that under very general circumstances the labour market performance is due to the price elasticity of product markets. With technical progress, employment decreases if product demand is elastic and it increases if demand is inelastic. A wage reaction does not change this turning point as long as wages are not totally elastic with respect to unemployment." (Author's abstract, IAB-Doku) ((en))

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Bibliographical information

Blien, Uwe; Ludewig, Oliver (2007): Structural change and unemployment. (LASER discussion papers, 08), Erlangen u.a., 22 p.
 

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