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Reform Capacity and Macroeconomic Performance in the Nordic Countries$
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Torben M. Andersen, Michael Bergman, and Svend E. Hougaard Jensen

Print publication date: 2015

Print ISBN-13: 9780198717102

Published to Oxford Scholarship Online: March 2015

DOI: 10.1093/acprof:oso/9780198717102.001.0001

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Labour Market Policies in Denmark

Labour Market Policies in Denmark

A Story of Structural Reforms and Evidence-Based Policy

Chapter:
(p.73) 4 Labour Market Policies in Denmark
Source:
Reform Capacity and Macroeconomic Performance in the Nordic Countries
Author(s):

Michael Svarer

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780198717102.003.0006

This chapter considers the role of labour market performance and reforms with origins in Danish experiences. The Danish labour market has been subject to a series of reforms over recent decades, and the reform process is still ongoing. The chapter provides an overview of some of the most important labour market reforms and discusses how they have affected labour market performance. The chapter draws on empirical evidence from recent Danish reforms and from a series of random controlled experiments to test the effectiveness of different active labour market instruments. It is concluded that the reforms have had significant effects on the Danish labour market, although it is an ongoing process to adjust labour market policies in light of new insights and the challenges arising in the labour market.

Keywords:   labour market reforms, active labour market policy, unemployment insurance, experimental evidence

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