TY - JOUR

T1 - Labour mobility

T2 - An adjustment mechanism in Euroland? Empirical evidence for Western Germany, France and Italy

AU - Puhani, P. A.

N1 - ACKNOWLEDGEMENTS This research was undertaken with support from the `Deutsche Post-Stiftung' (German Mail Foundation) under the project `Arbeitsmarkteffekte der Europa»ischen Wa»hrungsunion' (Labour Market Effects of European Monetary Union) while the author was working with the Centre for European Economic Research (ZEW), in Mannheim, Germany. I thank my former colleagues Bernhard Boockmann, Thiess Bu» ttner, Herbert S. Buscher, FrancÀois Laisney, Claudia Mu» ller, Viktor Steiner and two anonymous referees for helpful comments. Furthermore, I would like to thank Werner Gru»newald, Eurostat Luxembourg, for helpful information on Eurostat's Regio databank. I received excellent research assistance from Stefan Leiderer. All remaining errors are my own.

PY - 2001/5/1

Y1 - 2001/5/1

N2 - We evaluate whether labour mobility is likely to act as a sufficient adjustment mechanism in the face of asymmetric shocks in Euroland. As no adequate data on cross-border migration are available, migration elasticities within nation states (Western Germany, France and Italy) are estimated and interpreted as upper bounds for cross-border migration elasticities between European nation states. Labour mobility is highest in Germany, followed by France and Italy. However, the accommodation of a shock to unemployment by migration takes several years. We conclude that labour mobility is unlikely to act as a sufficient adjustment mechanism to asymmetric shocks in Euroland.

AB - We evaluate whether labour mobility is likely to act as a sufficient adjustment mechanism in the face of asymmetric shocks in Euroland. As no adequate data on cross-border migration are available, migration elasticities within nation states (Western Germany, France and Italy) are estimated and interpreted as upper bounds for cross-border migration elasticities between European nation states. Labour mobility is highest in Germany, followed by France and Italy. However, the accommodation of a shock to unemployment by migration takes several years. We conclude that labour mobility is unlikely to act as a sufficient adjustment mechanism to asymmetric shocks in Euroland.

UR - http://www.scopus.com/inward/record.url?scp=0035023148&partnerID=8YFLogxK

U2 - 10.1111/1468-0475.00031

DO - 10.1111/1468-0475.00031

M3 - Article

AN - SCOPUS:0035023148

VL - 2

SP - 127

EP - 140

JO - German economic review

JF - German economic review

SN - 1465-6485

IS - 2

ER -