The USA is currently experiencing “jobless” economic growth, a situation which has been characteristic of European labour markets, and which has been coined “eurosclerosis”. This lack of employment growth in Europe has almost unanimously been ascribed to labour market institutions, although there has never been hard empirical support for this position. Now the US job machine does not seem to be working, although the American labour market institutions have not changed. Will we now see a decade of “US-sclerosis”?
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