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Can Europe Reach Full Employment Again?
Author(s) -
Labini Paolo Sylos
Publication year - 1988
Publication title -
labour
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.403
H-Index - 34
eISSN - 1467-9914
pISSN - 1121-7081
DOI - 10.1111/j.1467-9914.1988.tb00134.x
Subject(s) - unemployment , economics , flexibility (engineering) , labour economics , full employment , rigidity (electromagnetism) , macroeconomics , engineering , management , structural engineering
In this paper the author analyzes what has caused the marked increase in unemployment registered throughout the major industrialized countries over the past fifteen years. In particular, the relation between wages and employment is examined, along the lines of a Ricardian analysis. In recent times various rigidity factors in the labour market have rendered the absorption and reabsorption of unemployment more arduous. From this analytical basis, the author discusses the concept of the optimum degree of flexibility and outlines the measures to be taken if unemployment is to be beaten.