Growth, unemployment, and deindustrialization / Henri L.F. de Groot.

Format:

Book

Author/Creator:

Groot, Henri de.

Language:

English

Subjects (All):

Economic development.

Industrial productivity.

Unemployment.

Physical Description:

xvi, 315 pages : illustrations ; 24 cm

Place of Publication:

Cheltenham, UK ; Northampton, MA : Edward Elgar, [2000]

Contents:

1. Growth, Unemployment and Deindustrialization: An Introduction 1

1.1 Motivation 1

1.2 Unemployment and growth 5

1.3 Sectoral structure and growth 12

1.4 Organization and contents of the book 16

Part I Relative Productivity and Unemployment

2. Unemployment and Catching Up: Europe vis-a-vis the USA 39

2.2 A dual economy 41

2.3 The allocation of labour 47

2.4 Relative convergence 52

Appendix 2A Producer behaviour 57

Appendix 2B Solution under asymmetries 58

3. Macroeconomic Consequences of Downsizing 61

3.2 Downsizing and growth 64

3.3 Downsizing and unemployment 73

Appendix 3A Mathematics of the model 81

4. Catching Up and the Changing Sectoral Composition of a Small Open Economy 95

4.2 The model 97

4.3 Solution of the model 100

Appendix 4A Financial equilibrium during transition 117

Part II Growth and Unemployment

5. Unemployment, Growth and Efficiency Wages 123

5.2 A model of R&D and unemployment in a dual economy 125

5.3 The steady state of the model 135

5.4 Properties of the model under the regime of free entry 138

5.5 Properties of the model under the regime of blocked entry 143

Appendix 5A Derivation of equations (5.11)-(5.15) 149

Appendix 5B Solution of the complete model 151

Appendix 5C Some numerical simulations 157

6. Unemployment, Growth and Trade Unions 165

6.2 Consumer and producer behaviour 167

6.3 The labour market of the model 170

6.4 Endogenous growth and equilibrium unemployment 176

6.5 Extensions and generalization of the model 181

Part III Sectoral Structure and Growth

7. The Determination and Development of Sectoral Structures 193

7.2 Empirical evidence 194

7.3 A simple model 200

7.4 The two-sector version of the model 203

7.5 The model in a multi-sector context 207

Appendix 7A Derivation of demand functions 214

8. The Macroeconomic Consequences of Outsourcing 218

8.2 The model 222

8.3 Outsourcing and welfare: growth versus product diversity 233

8.4 Some applications 240

8.5 Extensions of the model 242

Appendix 8A Solution of the model under alternative modes of governance 245

Appendix 8B Derivation of figure 8.1 248

Appendix 8C Internalization of the consequences of outsourcing for internal organization 249

9. Optimal Sectoral Structure and Economic Policy 254

9.2 The model 257

9.3 Solution of the model 261

9.4 Optimal product variety 263

9.5 The optimal number of permits 269

9.6 Knowledge spill-overs and welfare 272.

Notes:

Includes bibliographical references (pages 301-312) and index.

ISBN:

1840642637

OCLC:

42296135