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| Author: | Jackman, R. |
| Title: | The pros and cons of a common European employment policy |
| Journal: | Swedish Economic Policy Review
2001 : SPRING, VOL. 8:1, p. 201-234 |
| Index terms: | EMPLOYMENT LABOUR LABOUR MARKETS POLICY |
| Language: | eng |
| Abstract: | This paper considers the advantages and disadvantages of having common employment policies within the EU. It argues that the adoption of common employment policies presupposes both shared objectives and the existence of inter-country spillovers. The paper suggests, however, that member states retain different political and social objectives, and these differences account for the very different labour market outcomes observed. The main argument for harmonisation of policies is to avoid policy-induced distortions in competition. The paper suggests that where labour markets are flexible, the costs of labour market regulations are incident on labour and hence different regulatory regimes in different countries will not distort competition between them. |
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