By John T. Addison, Paul J. J. Welfens (auth.), Professor Dr. Paul J. J. Welfens, Professor Dr. John T. Addison (eds.)
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Extra info for Labor Markets and Social Security: Wage Costs, Social Security Financing and Labor Market Reforms in Europe
0 Q. = ~ .... = '< ~ -a= ~ "CI 0 .... = "'! ' W tv ~ 3(\) (\) ~ ",' ~ 0, '" :.. g 1:; t>J SJ· ~ ::! (\) ~ -[ (\) ~ e.. ,l:! 24 Labor Markets and Social Security Most remarkable is the difference in employment growth performance between the various European countries during 1983-93, which roughly parallels the record of unemployment decline. By and large, the countries with high employment growth were also the ones with declining unemployment rates. , faster than output and thus implying a decline of average output per worker.
7 Including or excluding the three countries scarcely affects the relevant correlation coefficient. 8 It is particularly relevant for western Germany where an ever increasing share of long-term unemployed persons (in the early 1990s, roughly 40 percent) had an age of 55 years or above. 9 The partial exception was Germany where - due to a long-standing currency undervaluation within the Bretton-Woods system - the strongly export-oriented manufacturing sector managed even to increase employment in relative terms until the mid-1960s.
173, Tab. I, for quantitative evidence on this point for the case of West Germany. 16 See EMERSON (1988). 77-168. , PAQUE 1994, pp. 19-28). Note that the proposal was originally designed with the institutional setting of Germany in mind. However, as it is presented here, it is likely to be applicable to other European countries as well. , PHELPS (1994), SNOWER (1994). 20 Also, casual exchanges with managers from personnel departments strongly support this point. 21 One such assumption is that the search intensity of long-term unemployed persons is greater than that of an already employed person receiving the same net income, so that the latter is less likely to 'notice' the emerging better-paid job opening.