Aims

" Understanding mechanisms active in the labour market.
" The ability to interpret (stylised) facts based on theoretical frameworks, with a view to identifying the main determinants of observed behaviour.
" On the basis of the above skills, the ability to judge the performance of market mechanisms and, where appropriate, identify the nature of appropriate public policies.
" Understanding the principles of evaluating labour market policies.

Main themes

The aim is to provide basic tools, to address a series of representations of the way the labour market functions, to identify the main implications of each of them, and to compare them with facts. The 15 hours of exercises aim to provide an in-depth analysis of the subjects dealt with. There will be exercises, in the strict sense of the word, and additional reading: this reading will examine certain theories and methodologies, and will include illustrations (e.g. case studies and empirical analyses).

Content and teaching methods

Content
1. The aim of Labour Economics and opposing methodological currents.
2. In-depth of learning relating to the basic concepts of labour supply and demand.
3. The perfect competition approach when the labour factor is heterogeneous: the theory of net benefit.
4. The issue of sharing risks over the labour market (the theory of implicit contracts).
5. Collective bargaining.
6. Models of imperfect competition on the labour market.
7. Segmentation and the internal market.
8. Unemployment: dynamic aspects.
9. Education, qualifications, revenues and the range of unemployment risks.
10. Methodology of evaluating passive and active labour market policies.

Method
Expositions; analysis of cases and facts; exercises; reading articles and studies; group working

Other information (prerequisite, evaluation (assessment methods), course materials recommended readings, ...)

ECON 2115 (Micro-economics) and ECON 2125 (Macro-economics)



Assessment will focus on matters covered in the 30+15 hours. Unseen examination. Written work.

P. Cahuc and A. Zylberberg, 2001, 'Le marché du travail', De Boeck-Université.
S. Polachek and W. Siebert, 1993, 'The economics of earnings', Cambridge University Press.
B. Van der Linden (ed), 1997, 'Chômage: réduire la fracture', De Boeck-Université.

Other credits in programs