Government Size and Unemployment: Evidence from Industrial Countries Export

@article{citeulike:1369504, abstract = {Abstract\ \ Using data from 19 industrial countries for the period 1985 to 2002, this paper analyzes how the size of the government sector affects unemployment. Controlling for the impact of the business cycle as well as for the impact of all major labor market institutions and unobserved country effects, we find that a large government sector is likely to increase unemployment. It appears to have a particularly detrimental effect on women and the low skilled and to substantially increase long-term unemployment. It seems that dominant stateowned enterprises, a large share of public investment in total investment as well as high top marginal income tax rates and low income threshold levels at which they apply are particularly detrimental.}, author = {Feldmann, Horst}, citeulike-article-id = {1369504}, citeulike-linkout-0 = {http://dx.doi.org/10.1007/s11127-005-9003-y}, day = {11}, doi = {10.1007/s11127-005-9003-y}, journal = {Public Choice}, keywords = {publicsector, sizeofgovernment, unemployment}, month = {June}, number = {3}, pages = {443--459}, posted-at = {2007-11-08 14:28:38}, priority = {3}, title = {Government Size and Unemployment: Evidence from Industrial Countries}, url = {http://dx.doi.org/10.1007/s11127-005-9003-y}, volume = {127}, year = {2006} }

TY - JOUR ID - citeulike:1369504 L3 - citeulike-article-id:1369504 N2 - Abstract  Using data from 19 industrial countries for the period 1985 to 2002, this paper analyzes how the size of the government sector affects unemployment. Controlling for the impact of the business cycle as well as for the impact of all major labor market institutions and unobserved country effects, we find that a large government sector is likely to increase unemployment. It appears to have a particularly detrimental effect on women and the low skilled and to substantially increase long-term unemployment. It seems that dominant stateowned enterprises, a large share of public investment in total investment as well as high top marginal income tax rates and low income threshold levels at which they apply are particularly detrimental. IS - 3 JF - Public Choice EP - 459 TI - Government Size and Unemployment: Evidence from Industrial Countries VL - 127 SP - 443 KW - publicsector KW - sizeofgovernment KW - unemployment AU - Feldmann, Horst PY - 2006/06/11/ UR - http://dx.doi.org/10.1007/s11127-005-9003-y ER -