EU labour mobility is cyclical stabiliser – paper

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The free movement of workers across the European Union works as a cyclical stabiliser, easing the pressure on countries with higher unemployment, says research published by the National Bank of Denmark.

The authors also observe inflows of workers from other EU member states increase when the labour market of a member state tightens. “Specifically, the estimation shows that a one percentage point reduction in the unemployment gap increases inflows of EU labour by an average of 0.0031% of the

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