Monthly Archives: August 2014

“Austerity is used as a scapegoat to avoid painful reforms”

In an interview with La Tercera newspaper in Chile, IZA Director Klaus F. Zimmermann comments on Europe’s economic difficulties and the current debate on austerity and flexibility. He calls on European policymakers to abandon their ideologically motivated policy strategies in … Continue reading

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Employee performance and the value of the bosses: Video interview with Kathryn Shaw

Employees should ultimately be paid for performance, not for working hours, says Kathryn Shaw (Stanford University and IZA) in a video interview. If hourly wages are paid, that entails choosing high-performing employees carefully. While wage inequality within firms serves to … Continue reading

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Fixed-term contracts: Dead-end jobs or useful stepping stones? Video interview with Werner Eichhorst

Fixed-term contracts have become a major form of employment in Europe. While proponents regard them as an important stepping stone to permanent employment, critics deride them as dead-end jobs. Who is right? That depends on the institutional and economic environment, … Continue reading

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High mortality on payday: Don’t get too excited about your money!

Payday is supposed to be a cause for celebration. When the salary finally arrives, bills can be paid, and financial stress should be eased. But if there is still some money left, be careful how to spend it: As the … Continue reading

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Migration decisions of couples: Who wears the pants?

Couples are less likely than singles, but more likely than families to emigrate to a different country. But who makes the decision to migrate? Does the traditional role model prevail, where the man’s career prospects play the most important role? … Continue reading

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How recessions produce career criminals

Recessions are known to create higher unemployment rates and lower levels of happiness and income. There is also growing evidence that workers who first enter the labor market during economic downturns suffer from poor job matching that impedes their career … Continue reading

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The state of European integration: What labor market experts think

Recent developments challenge the idea of free mobility in Europe. The rise in Euroskepticism, the perceived threat of welfare migration or the vote of the Swiss people to reintroduce immigration quotas indicate a degeneration of the European ideals. In light … Continue reading

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