I am not sure I can claim an expertise since I am cut off from reading the
Danish media.  But if flexible labor markets is part of right wing economic
philosophy then Denmark fits the bill.  They allow, I should add private
firms, to fire and hire workers at ease.  That said, Denmark's labor market
is very tight, still tight I should say.  It is very expensive to get
tradespeople such as plumbers, electricians, roofers, etc.  In fact there
are other Europeans who come here and work.  My next door neighbor, an
American anthropologist and HOD in Lund Univ in Sweden, had his roof done
recently.  The workers came from Germany, every other 10 days.  They lived
in barracks in CPH for 10 days and went back and returned after 10 days
again.

Workers in the public sector is different.  Theoretically they can be fired
but it involves a long process since all public sector workers are organized
under specific unions, including academic staff, which could ultimately
prevent firing.

But there is also the security: you get laid off the state welfare system
kicks in.  While I don't have the details I think it is pretty generous,
it's just that you have to keep looking for work to continue to get the
benefits, which in practice means filling out some forms.  Firms know that
this security exists so they tend to use labor "efficiently", which can lead
to slow service.  But the society as a whole likes the system in general
even though there are discussions going on in reducing the very high income
taxes.

Cheers, Anthony



On Mon, Jan 26, 2009 at 4:48 AM, michael perelman <[email protected]
> wrote:

> Anthony, could you tell us a little bit more about Denmark?  It seems to
> have a strange blend of right wing and social democratic economic policies,
> as exemplified by the flexisecure labor market
>
> Anthony D'Costa wrote:
>
>> I have to say Denmark is in a better position (though they have been
>> stretched in protecting the Danish kroner).  The economy is somewhat soft,
>> it has been since last early year as reflected by the real estate market.
>>  Copenhagen had its own real estate bubble as its flexisecure labor market
>> combined with labor shortages kept the economy humming for a quite some
>> time.  The dampening of the economy, not related to the subprime crisis, has
>> slowed growth.  But I have not heard of major layoffs though recruiting has
>> slowed down.  Bank lending has tightened, as I found out since we are in the
>> market.  The irony is that it is a good time to buy but my US savings,
>> Copenhagen prices, and a small bank loan nullifies the opportunity
>> considerably!
>>
>>
>
>
> --
> Michael Perelman
> Economics Department
> California State University
> Chico, CA
> 95929
>
> 530 898 5321
> fax 530 898 5901
> http://michaelperelman.wordpress.com
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>



-- 
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Anthony P. D'Costa
Professor of Indian Studies
Asia Research Centre
Copenhagen Business School
Porcelænshaven 24, 3
DK-2000 Frederiksberg, Denmark
Email:[email protected]
Ph: +45 3815 2572
Fax: +45 3815 2500
PhD in INDIAN STUDIES WEBSITE
http://frontpage.cbs.dk/jobs/stil.pl?func=details&id=1147
http://uk.cbs.dk/arc
www.cbs.dk/india
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