Labor Market Policies, Institutions and Employment Rates in the EU-27

Riccardo Rovelli and Randolph Bruno ()

No 3502, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: We compare labor market policies, institutions and outcomes for the EU member states, for the period 2000-2005. We document the main differences in Labor Market Policies across EU members, including new member states after 2004. We focus on indicators of policy generosity (expenditures relative to GDP) and relate these and other policy indicators to indicators of labor market outcomes and performance. Our results show that, on a cross-country basis, higher rates of employment are in general associated with: (i) higher expenditures on labor market policies, especially on active policies for countries with a high pro-work attitude; (ii) a lower degree of rigidity in labor market institutions and in product market regulation.

Keywords: labor market policies; labor market outcomes; European social models (search for similar items in EconPapers)
JEL-codes: J08 J38 J68 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2008-05
New Economics Papers: this item is included in nep-eec, nep-lab, nep-reg and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Published - published in: Journal of Common Market Studies, 2010, 48 (3), 661-685

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