Working Paper: CEPR ID: DP438
Authors: Hugo A. Keuzenkamp; Frederick van der Ploeg
Abstract: This paper discusses the problems the Dutch economy has experienced during the last seven years, pinpoints problems for future developments of the Dutch economy, and surveys the political-economic debate in the Netherlands. The focus is on the unemployment problem, still unsolved and therefore important for policy analysis. Several constraints for unemployment policy, internal and external, are discussed; government finance and taxation; exchange rates; the balance of payments; credit and capital availability; and constraints for investing in the future.
Keywords: fiscal constraints; external constraints; macroeconomic policy; Dutch economy
JEL Codes: 122; 321
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Government finance (H69) | Unemployment policy effectiveness (J68) |
| Long-term unemployment (J64) | Alienation from the labor market (F66) |
| High marginal tax rates (H29) | Reduced incentives to work (H31) |
| Government investment cuts (H54) | Long-term unemployment (J64) |