ecb speech, 2006-05-22
Benefit systems that are too generous discourage job search, early retirement schemes encourage early withdrawal from the labour market - employment rates for older workers aged 55-64 stood at just 40.2% in the euro area in 2005 and, according to the OECD, at around 60% in the US - and marginal tax rates that are too high discourage labour market entry and have a downward effect on average hours worked.
Sentiment: neutral
Topic: mp_labor_market