Monthly Archives: February 2016

Why do many European graduates end up in lower-paid jobs?

Skill mismatch has become an issue of increasing policy concern in the aftermath of the economic crisis, which saw high levels of youth unemployment in the EU economy. Weak labor demand, combined with rising levels of higher education attainment, have … Continue reading

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Should firms fill vacancies with own workers or outside hires?

Recruitment is one of the most important decisions businesses face. To ensure productivity and profitability remains high it is crucial that the right people are in the right roles within the company. However, there is an important decision to make when … Continue reading

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Investing in early childhood development reduces inequality

Early childhood years are highly formative and often provide the basis for educational, professional and social achievements in adulthood. IZA World of Labor features two recent articles which examine early childhood conditions and their policy implications from different angles: preschool … Continue reading

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Why UK income inequality has grown faster than you may think

Income inequality levels and trends are increasingly a subject of public discussion and have been analyzed in depth by economists and other social scientists. Major books about inequality receive wide attention, such as Tony Atkinson’s Inequality: What Can Be Done … Continue reading

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Why the unemployed need human coaches right from the start

Electronic self-service platforms can help job-seekers find suitable vacancies and facilitate self-development. But the results of a recent research project by Bert Van Landeghem, Frank Cörvers and Andries de Grip presented in a new IZA Discussion Paper remind us that … Continue reading

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The right mix of migrants to meet Germany’s needs

“In past decades, Germany has made great strides with the integration of foreigners. Those achievements must be defended prudently and balanced with the country’s demographic challenges. Indiscriminately admitting all refugees from war, including often illiterate and unskilled youths, is bound … Continue reading

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Employee incentives: Bonuses or penalties?

A large empirical literature supports the view that linking payment to performance is highly effective in raising productivity. However, often little attention is paid to how performance incentives are implemented in employment contracts. While most employers work with bonuses, some … Continue reading

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