Labour market institutions shape unemployment levels during economic growth in OECD countries.
The article looks at why some countries have higher unemployment rates than others. It studied 20 OECD countries from 1985 to 2011 to see how business cycles and labor market rules affect unemployment. The results show that labor market rules indirectly impact unemployment by influencing economic growth. The study also found that differences in unemployment levels vary both within and between countries, as well as among different age groups.