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labour market rigidities (J6)
Barriers to the free fixing of wages by each firm and region of a country and to the free movement of workers between occupations, regions and industries. Rigidities are particularly caused by national wage fixing, APPRENTICESHIP schemes and housing policies that make it very costly to change residence. Divergent regional unemployment rates and high wage inflation are symptoms of such rigidities.
See also: European Social Charter; mobility trap
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