The Fed also noted signs of the troublesome structural unemployment, highlighting labor shortages in energy and IT sectors.
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One of the absolute biggest structural problems facing the entire West is that of structural unemployment and structural underemployment.
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Same for the debate about the extent or even existence of structural unemployment.
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In countries with high structural unemployment, entrepreneurship has less of an impact on growth than development economists previously thought.
Encouraging signs, like improved housing markets and consumption, appear offset by stagnant labor markets and signs of structural unemployment.
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ECB's insistence that macroeconomic policy cannot affect joblessness could produce higher structural unemployment.
So even if Europe launched radical reforms now, structural unemployment would not fall immediately, as Britain's experience in the 1980s shows.
Structural unemployment will still be more than10% and deficits will be high.
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ECB's target, the adverse impact on unemployment seems to be at its greatest, lifting the structural unemployment rate by 2-4 percentage points.
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The weakness of the recovery is mostly to blame, but there are signs that America may be developing a distinctly European disease: structural unemployment.
High structural unemployment: As alluded to earlier, impediments to business from all levels of government, but especially from the federal government, are a huge issue.
The Fed also pointed to signs of structural unemployment, noting labor shortages for qualified workers with specific skills, particularly in the energy and IT sector.
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Euro-style social safety nets encourage Euro-style long term or structural unemployment.
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Europe's high structural unemployment cannot be blamed on labour-market rigidities alone.
As long as we accept the similarity between structural unemployment and long term unemployment, a connection that in the world of economic wonkery is generally accepted.
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Allowing long-term unemployment to atrophy the skills of workers would in turn lead to structural unemployment, and the Fed will do what it can to fight that.
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But look at any of these charts and they show structural unemployment at an all-time high, with the situation getting much worse the longer the duration of unemployment.
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Much of what economists know about structural unemployment has been gleaned from the sorry history of continental Europe, where fat benefits and rigid firing rules dulled labour-market efficiency.
Since these men are more likely to be unemployed than the typical worker, they reduce the structural unemployment rate by being in prison and out of the workforce.
And not all European unemployment is structural some is caused by economies operating below full potential.
These cost pressures suggest that the increase in unemployment is structural rather than cyclical, according to Ben Broadbent, an economist at Goldman Sachs.
Inflation does nothing to alter the structural issues that cause unemployment.
Mr Obama has the dubious advantage of trying to cap pay amid a severe economic downturn, rising unemployment and structural changes in finance that will reduce pay anyway.
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When government spending increases were seriously fractional against economic growth in the 1980s and 1990s, that growth was 4% or higher, goods and services (and commodities) were inexpensive, unemployment was structural, and opportunity abounded.
But if a chunk of America's unemployment is structural, its policymakers need urgently to think beyond stimulus measures, and also to adopt more targeted policies to help the millions stuck in the wrong place with the wrong skills.
One school of thought is that a high unemployment rate is structural and immune to the stimulative effects of monetary policy.
Many economists have already concluded that elevated unemployment rates are structural (a euphemism for long-term) when it comes to getting America back to work.
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Lowering this new natural rate of unemployment will require structural reforms, such as changing education to ensure that people enter work equipped with the sort of skills firms are willing to fight over, adjusting the tax system and modernising the welfare safety net, and more broadly creating a climate conducive to entrepreneurship and innovation.
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