The implementation of a European unemployment insurance system could begin with the creation of a eurozone budget; a time-consuming but popular idea, according to the French Council of Economic Analysis.
The idea of a common system of unemployment insurance within the eurozone is taking off. The need to strengthen the budgetary policy of the single currency area to cope with systematic shocks appears to come into direct conflict with member states’ reservations about further economic integration.
But the establishment of a common unemployment insurance scheme within the eurozone, with its own budget, could be the thread that binds the currency union together, deepening eurozone integration and giving it a real social dimension.
Chosen excerpts by Job Market Monitor. Read the whole story at EU unemployment insurance would require full labour market integration – EurActiv.com
The best idea for an EMU-level automatic fiscal stabiliser is in my view a scheme where fiscal stimulus is provided to countries of the monetary union based on developments in their short-term unemployment. Unemployment is an indicator whose big advantages are that it very closely follows developments in the economic cycle, it is easily understandable, … Continue reading
The concept of such an insurance could help countries in crisis as it would absorb some of the costs of a sudden and deep recession Continue reading
Unemployment benefits are one of the safety nets available for people affected by the economic crisis in Greece, Spain and Portugal. This system — along with other social benefits such as pensions and increased remittance inflows from family members abroad, as well as aid from family members at home and, to some extent, informal economic activities — is somewhat … Continue reading