results are contrasted with those from a comparable sample from the US from 1977-1988. 1) Fear of unemployment substantially … upwards than downwards.3) The unemployment elasticity of pay averages -0.1 in the UK and apparently zero in the US.4) Wages …

1) Fear of unemployment substantially depresses pay in both countries …3) The unemployment elasticity of pay averages -0.1 in the UK and apparently zero in the US …

The OECD's unemployment problem is largely concentrated among low-skilled workers. In this paper, four explanations of … low-skilled workers' unemployment are examined: wage-setting institutions, employment regulation, globalization, and … achieve low rates of low-skilled unemployment. In contrast, investment in active labour market policies pays off in form of …