The Role of Shocks and Institutions in the Rise of European Unemployment: the Aggregate Evidence
利用20个OECD国家1960年以来的面板数据，发现冲击与劳动市场制度的相互作用是解释欧洲失业率上升及各国差异的关键。
Two key facts about European unemployment must be explained: the rise in unemployment since the 1960s, and the heterogeneity of individual country experiences. While adverse shocks can potentially explain much of the rise in unemployment, there is insufficient heterogeneity in these shocks to explain cross-country differences. Alternatively, while explanations focusing on labour market institutions explain current heterogeneity well, many of these institutions pre-date the rise in unemployment. Based on a panel of institutions and shocks for 20 OECD nations since 1960 we find that the interaction between shocks and institutions is crucial to explaining both stylised facts.