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Changes in Inequality and Unemployment over the 1980s: Comparative Cross-National Responses

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  • Blank, Rebecca M

Abstract

This paper reviews the research evidence regarding high and persistent unemployment in the western European nations and widening inequality in the United States and selected European countries. It has been suggested that both of these problems are due to fundamental economic shifts in labor demand within the more industrialized world that have led to declines in the demand for less skilled workers: the effect on countries with more regulated labor markets was rising unemployment, while in less regulated labor markets it was rising wage inequality. The paper considers the evidence for this hypothesis, as well as the research questions and policy issues that it raises.

Suggested Citation

  • Blank, Rebecca M, 1995. "Changes in Inequality and Unemployment over the 1980s: Comparative Cross-National Responses," Journal of Population Economics, Springer;European Society for Population Economics, vol. 8(1), pages 1-21, February.
    • Handle: RePEc:spr:jopoec:v:8:y:1995:i:1:p:1-21
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    Cited by:

    1. Alena Bicakova, 2006. "Market vs. Institutions: The Trade-off Between Unemployment and Wage Inequality Revisited," Economics Working Papers ECO2006/31, European University Institute.
    2. Tiina Makinen, 1998. "Contradictory Findings? The Connection between Structural Factors, Income Transfers and Poverty in OECD Countries," LIS Working papers 179, LIS Cross-National Data Center in Luxembourg.
    3. Rebecca M. Blank, 1997. "No Easy Answers: Comparative Labor Market Problems in the United States versus Europe," Economics Working Paper Archive wp_188, Levy Economics Institute.
    4. Peter Gottschalk & Mary Joyce, 1998. "Cross-National Differences In The Rise In Earnings Inequality: Market And Institutional Factors," The Review of Economics and Statistics, MIT Press, vol. 80(4), pages 489-502, November.
    5. Alena Bic kov, 2005. "Unemployment Versus Inactivity: An Analysis of the Earnings and Labor Force Status of Prime Age Men in France, the UK, and the US at the End of the 20th Century," LIS Working papers 412, LIS Cross-National Data Center in Luxembourg.
    6. Rembert De Blander & Ingrid Schockaert & André Decoster & Patrick Deboosere, 2017. "Projected Population, Inequality and Social Expenditures: The Case of Flanders," International Journal of Microsimulation, International Microsimulation Association, vol. 10(3), pages 92-133.
    7. Sophia Dimelis & Alexandra Livada, 1999. "Inequality and business cycles in the U.S. and European Union countries," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 5(3), pages 321-338, August.

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