Economic Development and Unemployment Do They Connect经济发展和失业他们连接.pptVIP

Unemployment in Economic Theory Lecture by Persefoni Tsaliki Department of Economics Aristotle University of Thessaloniki Perspectives on the Euro(crisis) Sharing Perspectives Foundation October 2013 Unemployment The most striking developmental phenomenon in western economies is the lasting unemployment In mainstream literature, unemployment is principally attributed to labor market rigidities In Keynesian tradition, unemployment is due to lack of effective demand The theoretical and empirical studies with respect to employment have reached over the years contradictory and inconclusive results. In the present lecture we will argue that unemployment is a systemic element of the normal operation of the labour market. The presentation is a summary of the following articles: “Technical Change, Unemployment and Labour Skills” International Journal of Social Economics, 38, 7, 2011 (Pavlidou, Vardalachakis and Tsaliki) “Unemployment Revisited: Empirical Evidence from Twenty OECD Countries” Contributions to Political Economy, 28, 1, 2009 (Alexiou and Tsaliki) “Economic Development and Unemployment: Do They Connect?” International Journal of Social Economics, 36, 7, 2009 (Tsaliki) “Competing Theories of Unemployment and Economic Policies: Evidence from the US, Swedish and German Economies” The Indian Economic Journal, 56, 3, 2008 (Katrakilidis and Tsaliki) “Economic Development, Human Capital and Technical Change: The Question of Machinery Revisited” International Review of Economics, 55, 3, 2008 (Tsaliki) The ‘specter’ of unemployment in developed economies Unemployment categories in economic textbooks: seasonal, frictional, structural and cyclical. The first three categories are considered normal and acceptable inasmuch they are viewed as the by-products of the normal operation of the labor market. Only cyclical unemployment is viewed as a deviation from the normal and so Keynesian economics suggest countercyclical economi