Belke, Ansgar; Fehn, Rainer:
CESifo (Hrsg.):
Institutions and Structural Unemployment : do Capital Market Imperfections Matter?
München, 2001
(CESifo Working Papers ; 504)
2001Working PaperOA Platin
Wirtschaftswissenschaften
Titel in Englisch:
Institutions and Structural Unemployment : do Capital Market Imperfections Matter?
Autor*in:
Belke, AnsgarUDE
GND
113316771
LSF ID
47861
ORCID
0000-0002-9743-4758ORCID iD
Sonstiges
der Hochschule zugeordnete*r Autor*in
;
Fehn, Rainer
Herausgeber*in:
CESifo
Erscheinungsort:
München
Erscheinungsjahr:
2001
Open Access?:
OA Platin
Umfang:
52 Seiten
Handle
ZDB ID
Sprache des Textes:
Englisch

Abstract in Englisch:

This paper analyzes whether differences in institutional structures on capital markets contribute to explaining why some OECD-countries, in particular the Anglo-Saxon countries, have been much more successful over the last two decades in producing employment growth and in reducing unemployment than most continental-European OECD-countries. It is argued that the oftenblamed labor market rigidities alone, while important, do not provide a satisfactory explanation for these differences across countries and over time. Financial constraints are potentially important obstacles against creating new firms and jobs and thus against coping well with structural change and against moving successfully toward the “new economy”. Highly developed venture capital markets should help to alleviate such financial constraints. This view that labor-market institutions should be supplemented by capital market imperfections for explaining differences in employment performances is supported by our panel data analysis, in which venture capital turns out to be a significant institutional variable.