In a general equilibrium model of a small open economy with a nontraded goods sector involuntary low-skilled labour unemployment is introduced by an exogenously given wage rate, orientating ourselves by what has been called in the literature the 'European scenario'. By the concept of constrained...

Chapter 1. Introduction -- Chapter 2. Regional human capital inequality in Europe -- Chapter 3. Spatial clustering of numeracy and literacy -- Chapter 4. Human capital and market access in the European regions -- Chapter 5. The long-run impact of human capital on innovation and economic growth...