Growing into Work

CES Working Paper 108

Posted: 29 Apr 1998

See all articles by David G. Blanchflower

David G. Blanchflower

Dartmouth College - Department of Economics; National Bureau of Economic Research (NBER); University of Stirling - Department of Economics

Richard B. Freeman

National Bureau of Economic Research (NBER); University of Edinburgh - School of Social and Political Studies; Harvard University; London School of Economics & Political Science (LSE) - Centre for Economic Performance (CEP)

Date Written: May 1996

Abstract

This paper examines youth labor markets in OECD countries in the 1980s and 1990s, when the youth share of the population fell rapidly in most of these countries. Despite the decline in the youth share of the population and increased enrollments in school, and shifts in industry mix toward youth-intensive sectors, the wages of youths relative to adults fell, and the employment rates of youths declined sharply, particularly among men. In many countries, youth suicides rose, crime (committed largely by the young) rose and marriage rates fell among young persons. The paper concludes that the most likely cause for the adverse labor market experiences of youths is the high overall rate of unemployment. Neither changes in demography nor expansion of low-wage industries nor reductions in the wages of youth were able to counteract the effects of the macro-economy on the prospects of young workers.

JEL Classification: J1, J2, J3

Suggested Citation

Blanchflower, David G. and Freeman, Richard B., Growing into Work (May 1996). CES Working Paper 108, Available at SSRN: https://ssrn.com/abstract=3230

David G. Blanchflower (Contact Author)

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Richard B. Freeman

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