319 publications found
  • Critical reflections on the job guarantee proposal

    Adam D. K. King. (2020). Studies in Political Economy.


    This article assesses the job guarantee (JG) from two angles. First, by tracing some of the JG’s intellectual origins in the inflationary crises of the 1970s, it questions contemporary claims about…


  • De Gedifferentieerde Basisbaan (Proposal for a Basic-Job)

    Anja Eleveld. (2020). SSRN.


    Dutch: In (academische) discussies over de toekomst van de sociale zekerheid wordt steeds vaker ‘de basisbaan’ genoemd als het antwoord op een falend activeringsbeleid. Met de gezaghebbende rapporten van de Commissie Borstlap en de WRR in 2020 is dit idee stevig op de politieke agenda gezet. De basisbaan houdt grofweg in dat mensen voor wie het lastig is om een plek te bemachtigen op de reguliere arbeidsmarkt, een baan wordt aangeboden waarmee ongeveer het minimumloon kan worden verdiend. De voorstellen die tot nu toe zijn gedaan, besteden echter geen aandacht aan de vraag hoe de basisbaan in overeenstemming met sociale grondrechten moet worden vormgegeven. In deze bijdrage tracht ik in deze lacune te voorzien. Hiertoe bespreek ik allereerst aan de hand van de rapporten van de commissie Borstlap en de WRR en een aantal andere publicaties, de mogelijke invullingen van de basisbaan. Vervolgens ga ik na in hoeverre de verschillende ideeën in lijn zijn met een tweetal fundamentele grondrechten: het recht op arbeid en het gelijkeloonbeginsel. Tot slot formuleer ik op basis van die analyse een eigen voorstel voor de gedifferentieerde basisbaan dat is verankerd in het recht op arbeid en het gelijkeloonbeginsel en dat past in het nationale socialezekerheids- en arbeidsrecht.

    English: In discussions on the future of social security in the Netherlands, scholars increasingly refer to the basic-job as a response to failing welfare-to-work policies. The basic-job roughly entails a regular job against at least statutory minimum wages. The proposals for a basic-job we have seen thus far do not pay attention to the question how the basic-job can be designed in conformity with fundamental social rights. In this paper I seek fill this gap in the scholarly literature. The paper addresses two fundamental social rights in particular: the right to work and the right to equal pay for work of equal value. After evaluating current proposals against these fundamental rights I describe the contours of a basic job that fit with national social security and labour law and which is in accordance with fundamental social rights.

    Note: Downloadable document available in Dutch.


    Europe Human Rights
  • Der Staat als Employer of Last Resort

    Kai Biehl, Franziska Disslbacher, Michael Ertl, Georg Feigl, Julia Hofmann, Julia Hofmann, Pia Kranawetter, Markus Marterbauer, Markus Marterbauer, Michael Mesch, Reinhold Russinger, Matthias Schnetzer, Tobias Schweitzer, Thomas Zotter, Josef Zuckerstätter. (2020). Wirtschaft und Gesellschaft.
  • European Job Guarantee: Targeting the Triple Crises Facing Post-COVID Europe

    Jan J. Zygmuntowski, Kirył Zach, Krzysztof Hejduk. (2020). Social Science Research Network.


    The EU in 2020 is in the midst of a triple crisis of unemployment, public health and environmental collapse. These aspects are deeply intertwined and should be tackled together, since they all reflect structural problems of the European labor market. Job Guarantee is the proposed fiscal tool, since a growing body of empirical evidence shows that labor market policies targeting unemployment have considerable positive impact, beyond direct social aid. We suggest creation of a European Job Guarantee (EU JG) as a policy tool for post-pandemic recovery. EU JG would be a programme of publicly funded, high work standard employment of last resort, based on local economic needs (including industrial transition). Pilot projects should be set up; the proposed regions are the decarbonising regions in transition. We analyse the possibilities for job creation and suggest an outline of the pilot programme.


    Europe Health Macroeconomics

    Abbanapuri Yakaiah. (2020). International Journal of Management And Social Science Research Review.


    The National Rural Employment Guarantee Act, 2005 (NREGA) guarantees 100 days of wageemployment in a financial year to any rural household whose adult members are willing toparticipate in unskilled manual work. The initial 200 districts chosen for implementation of theNational Rural Employment Guarantee Act (NREGA) were the most backward districts of thiscountry. Warangal district in Telangana State was selected at it’s first phase. The currentliterature has observed the low awareness of the beneficiaries as well as some institutional gapsin the implementation of such scheme. Our study tries to review the current status ofimplementation of NREGA in Hasanparthi block of Warangal district, Telangana State and toidentify emerging strengths and weaknesses for wider dialogue for improvements. 100households have been chosen from ten villages/gram Warangal on stratified random samplingbasis. The respondents


    Implementation India
  • Guaranteeing Employment During the Pandemic and Beyond

    Pavlina R. Tcherneva. (2020). Levy Economics Institute, Annandale-on-Hudson, Policy Note 2020/4.


    The ongoing job losses, already numbering in the tens of millions, and the mass unemployment that will remain once the COVID-19 crisis has passed are of our own making, argues Pavlina R. Tcherneva, created by our inability to conceive of policies that protect and create jobs on demand. There is another option: instead of capitulating to a world of guaranteed unemployment, we can demand policies that guarantee employment. During the pandemic, the government can protect jobs by acting as a kind of employer of last resort, while in the post-pandemic world it can create jobs directly via mass mobilization and a job guarantee. In this environment, backstopping payrolls, mass mobilization, and the job guarantee are three different but organically linked policies that aim to secure the right to decent, useful, and remunerative employment opportunities for all.


    Implementation Macroeconomics
  • Iceland: We Need to Talk about Unemployment – and a Job Guarantee

    Olafur Margeirsson. (2020). Global Institute for Sustainable Prosperity, Policy Note No. 122.


    Iceland is a developed dwarf-economy (the country’s population is 366,000) with its own free-floating currency (the Icelandic krona, ISK), the world’s second smallest free-floating currency after the Seychellean rupee (SCR). Taking the foreign exchange reserves of the Central Bank of Iceland into account, the public sector has a net positive financial position to the rest of the world equal to approx. 20% of GDP. The economy provides an abundant production of energy and the country’s net international investment position is positive, due in great part to prevalent current account surpluses over the last seven years. Despite the need to raise foreign currency assets to pay for imports, the economy’s monetary sovereignty is relatively high, and the potential fiscal policy space is vast. The workforce is well educated, the country is a member of the European single market through the European Economic Area (EEA) agreement, and the government provides universal health insurance, subsidised education (including universities) and a Nordic-model style of welfare assistance that includes unemployment benefits, maternity and paternity leaves, and childcare.

    As has been the case for other economies, the COVID-19 pandemic hit Iceland’s economy hard. One of its most affected branches is the tourist sector, as Iceland typically welcomes ~2 million tourists to its shores annually (5-6 times the population). Far from being the only industry affected, jobs in other sectors (retail, restaurants, aviation to name a few) have disappeared, and the rate of unemployment has risen sharply.

    Between the second quarter of 2019 and the second quarter of 2020, the number of jobs in Iceland fell by more than 27,000. Comparing the third quarter of 2019, which includes the peak of the tourist season, and the second quarter of 2020, the reduction is just over 38,000 jobs (fig. 1). For comparison, losing 38,000 jobs in Iceland is like losing ~34 million jobs in the US. The outlook is dire: as of September 30th, numerous Icelandic firms intend to decrease their number of staff over the next six months according to data from the Central Bank of Iceland (fig. 2). There is every reason to believe that unemployment in Iceland will increase significantly in the coming months.


    Europe Gender Health Macroeconomics Quantitative
  • It’s time to refresh old ideas like universal job guarantee

    Swati Dhingra. (2020). Hindustan Times.


    Self-targeting features of a universal job guarantee make it a long-term policy option to protect informal workers in urban India


    India Macroeconomics Urban
  • John R. Commons and Government as Employer of Last Resort: Three Paths to a Progressive Right to Work

    Charles J. Whalen. (2020). Journal of Economic Issues.


    Today in the United States, a number of congressional Democrats endorse proposals that would establish a job guarantee for all Americans seeking work. Arguments for such a policy can be traced back…


  • La garantía de trabajo: Una nueva norma laboral y política de estabilización

    Pavlina R. Tcherneva. (2020). CCOO Perspectiva. Perspectiva No. 20, transformative proposals.


    En 1944, Franklin Delano Roosevelt advirtió: “Las personas que tienen hambre y no tienen trabajo son la materia de la que se hacen las dictaduras”, y pidió una Carta de Derechos Económicos que asegurara, entre otros derechos, el derecho a un trabajo para cada persona. Este derecho está grabado en la Declaración Universal de Derechos Humanos y en las constituciones de muchas naciones, pero el mandato sigue sin cumplirse.

    La Garantía de Empleo es una política pública que responde a este llamamiento proporcionando oportunidades de empleo con salarios dignos a cualquier persona que busque trabajo en proyectos de servicio público. A diferencia de los programas del New Deal de Roosevelt de los años 30, la Garantía de Empleo es un derecho permanente. Responde directamente a la eterna amenaza del desempleo, tanto en tiempos de crisis como en tiempos relativamente prósperos. Es un derecho de empleo legalmente exigible  para cualquier persona que busque trabajo y una poderosa política estructural. Establece sin compromiso un nivel de salario digno para todos los empleos de la economía y relega el desempleo masivo y las recuperaciones sin empleo a los cubos de basura de la historia


    Human Rights Macroeconomics
  • Managing the Job Guarantee Public Policy Schemes: A Strategic Approach

    Dipankar Das. (2020). Social Science Research Network.


    To run a job guarantee public policy scheme, it is important to know the aspiration level or the reference point of labor, and accordingly, the labor hour and the wage sequence are to be prepared. The existing job guarantee schemes consider the same wage rates for all types of jobs. As a result, it is to identify the reference point. The present work aims to propose a job guarantee scheme where different types of jobs have different wage rates. The paper explains the choice problem between labor and leisure at different wage rates and proposes complete computational tools to be incorporated into the job guarantee schemes. The paper also gives a mechanism to prepare the list of jobs and corresponding wage rates by maintaining a balance between labor and leisure, where productive activities measure labor hours and labor welfare measures leisure hours. Lastly, the paper provides the analytical tools to interpret the ex-post data of the job guarantee public policy schemes.

    Design/methodology/approach: The paper has been written based on the Coordination Game and its Welfare Implications in the job guarantee public policy schemes. Findings The present paper gives an initial work to measure the choice between labor and leisure for the different wage rates practically. This will help in getting the equilibrium strategies, namely, the combination of the labor hour and the wage rate between the policymaker and the labor. This method will help to implement the job guarantee schemes. For example, to run successfully the Basic Income policy, the basic income calculation should give due care; otherwise, there will be a downward trend in the basic income and the welfare of labor will be reduced, because the labor would have to supply excess labor to meet the target income.

    This paper derives theories and explains how the equilibrium in this coordination game can be achieved. The paper explains how the policy of the job guarantee schemes can be practiced practically. In the MGNREGA scheme, the public institution declares different categories of jobs with different wage rates. The categories have been classified with respect to the hours required to complete the job. Therefore, the public institution declares different lists or a sequence of pairs of labor hours and wage rates. Moreover, the list is stochastic, because the list can be changed by the inclusion of an offer from the market as well. The labor has to select from the list. The challenge on the part of the public institution is to prepare the list in such a way so that the inclusion of the market offers will not distort the equilibrium of the coordination game. An important method has been proposed here to analyze the ex-post data of job offers so that the preparation of the future sequence of the job offers can be prepared with due care. One objective of the policymaker here is to make a list of job offers in such a way so that the labor supply will be converging to a point and that will not deviate if the wage rate increases further. This objective will make a balance of the distribution of funds between the existing registered labor and the new entrants into the job guarantee schemes.


    Implementation India Modeling Quantitative
  • Protecting informal workers in urban India: the need for a universal job guarantee

    Swati Dhingra. (2020). London School of Economics.


    The COVID-19 lockdown implemented in India is estimated to have tripled the urban unemployment rate. Most low-income urban workers will fall through the cracks of the provisions being put in place to support workers, and almost none of them has access to benefits. Swati Dhingra (LSE) argues that the self-targeting features of a universal job guarantee make it an appealing policy option to protect informal workers in urban India both now and in the longer term.


    Development India Urban
  • Simulating an employer of last resort program for Argentina (2003–2015)

    Agustín Mario. (2020). Journal of Post Keynesian Economics.


    The employer of last resort (ELR) is a policy proposal designed as an alternative to using unemployment as the primary mean to control the value of the currency. This paper complements the analysis at the theoretical level and provides an estimate of the potential economic effects of an ELR program on the Argentine economy. According to the simulations within the historical economic cycle, the ELR (1) would permanently eliminate involuntary unemployment, (2) by setting an effective minimum wage equal to the poverty line, it would eradicate poverty—at least that originating in insufficient labor income—, (3) if combined with a quantity rule for non-ELR public spending, the policy could influence the size of the program and, thus, attempt to offset the acceleration (or deceleration) of inflation with respect to the target. In addition, the ELR would prevent the so-called “external constraint” from implying (as it currently does) involuntary unemployment (and poverty). In a sense, and as the simulated scenarios pretend to illustrate, an ELR would, at least, replace the tradeoff between the “two evils” (unemployment and inflation) by another between inflation and the proportion of ELR employment.


    Macroeconomics Modeling Quantitative South America
  • The Case for a Job Guarantee Policy in Germany – a political-economic analysis of the potential benefits and obstacles

    Jannik J. Landwehr. (2020). Institute for International Political Economy Berlin.


    As a bottom-up approach, a Job Guarantee policy can tackle the issue of unemployment on the macroeconomic, socioeconomic, and individual level in a unique way and promote the social inclusion of the unemployed. This paper aims at analysing the potential obstacles – namely inflationary pressure and financing – of a Job Guarantee policy implementation in the case of Germany. A Job Guarantee’s impact on inflation depends on excess production capacities of economic sectors as well as collective wage bargaining structures. In this regard, this paper concludes that under a correct policy design inflationary pressure is no major obstacle. Strengthening workers’ bargaining power in Germany through a Job Guarantee policy could even contribute to reaching the inflation target and prevent deflation. However, deficiencies of the European institutional setup and the analogous restrictive fiscal mantra at European and national level limit the political scope for financing a Job Guarantee policy. Notwithstanding, a small to medium size Job Guarantee programme – comprising up to all currently unemployed willing to work – is politically and legally feasible.


    Europe Macroeconomics Modeling Quantitative
  • The Crisis and Job Guarantees in Urban India

    Swati Dhingra and Stephen J. Machin. (2020). Center for Economic Policy Research.


    This paper uses a new field survey of low-wage areas of urban India to show that employment and earnings were decimated by the lockdown resulting from the Covid-19 crisis. It examines workers’ desire for a job guarantee in this setting. Workers who had a job guarantee before the crisis were relatively shielded by not being hit quite so hard in terms of the increased incidence of job loss or working zero hours and earnings losses. A stated choice experiment contained in the survey reveals evidence that low-wage workers are willing to give up around a quarter of their daily wage for a job guarantee. And direct survey questions corroborate this, with informal, young and female workers being most likely to want a job guarantee, and to want it even more due to the current crisis.


    Development India Urban
  • The Job Guarantee: Gatekeeping and Popularization

    Alex Williams. (2020). Global Institute for Sustainable Prosperity, Working Paper 127.


    Among DIY musicians, one often hears support for a Universal Basic Income on the logic that if rent and food are covered, one could spend more time on music. In some formulations, a cultural job guarantee aims at this explicitly: liberation of creative energies through guaranteed employment. However, technological innovations that allow the nearly zero cost creation and transmission of recordings have moved gatekeeping downstream from production to publicity and audience development. In order to address this, and implicitly challenge the anti-democratic notion that individual preferences are best expressed through markets, any culturally-focused Federal job guarantee must include provision for popularization. Starting from both Michal Kalecki’s proposition of a “political business cycle” and Alan Lomax’s idea of “cultural equity,” I argue that a cultural job guarantee must be a self-consciously left project to restructure the social system of cultural production. I follow Fred Lee’s assertion that consumers choose from available goods, rather than making production decisions. I also affirm Modern Monetary Theory’s vision of money as a boundless public utility. With these in mind, I argue that a cultural job guarantee should democratize American culture, rather than provide the private sector culture industry with a reserve army of unemployed artists. Instead of making it possible for anyone to become a Taylor Swift, a cultural job guarantee should look to the models of Smithsonian Folkways and John Peel to dismantle the cultural form of Taylor Swift itself.


  • The Regional Job Guarantee: Fostering Economic Democracy and Promoting Public Participation

    Michael J. Murray. (2020). Global Institute for Sustainable Prosperity, Working Paper No. 125.


    This article discusses some of the issues revolved around implementing the Job Guarantee approach at the local level. Specifically the article addresses the question: Who decides the design of the Job Guarantee program at the local level? And in concert with this first question comes: What are the types of jobs that are implemented at the local level? Here it is argued that these decisions should be made in a way that fosters economic democracy and promotes widespread public participation. Often this means elevating the interests of workers, and the potential JG workforce, alongside businesses and governments into the process of planning and designing JG programs.


  • Can Workfare Programs Moderate Conflict? Evidence from India

    Thiemo Fetzer. (2019). Centre for Competitive Advantage in the Global Economy, Working Paper No. 436.


    Can public interventions persistently reduce conflict? Adverse weather shocks, through their impact on incomes, have been identified as robust drivers of conflict in many contexts. An effective social insurance system moderates the impact of adverse shocks on household incomes, and hence, could attenuate the link between these shocks and conflict. This paper shows that a public employment program in India, by providing an alternative source of income through a guarantee of 100 days of employment at minimum wages, effectively provides insurance. This has an indirect pacifying effect. By weakening the link between productivity shocks and incomes, the program uncouples productivity shocks from conflict, leading persistently lower conflict levels.

    Keywords: social insurance, civil conflict, India, NREGA, insurgency


    Health India Quantitative
  • Completing the Euro: The Euro Treasury and the Job Guarantee.

    Esteban Cruz Hidalgo, Dirk H. Ehnts, Pavlina R. Tcherneva. (2019). Revista de Economía Crítica.


    The problems with the design of the Eurozone came into focus when, late in 2009, several member nations – notably Greece – failed to refinance their government debt. The crisis that followed was not entirely a surprise. When the Euro was launched in 1999, many economists warned that the single currency was unworkable. Even Eurozone optimists argued that the Euro project would eventually need to be completed. More than 10 years after the crisis, unemployment rates remain elevated and continue to threaten the social, political and economic stability of the Eurozone. The institutional constraints of the single currency however preclude bold action to address these challenges. In this paper, we suggest that tackling the twin problems of the Eurozone – its institutional flaws and mass unemployment – could be addressed by creating a Euro Treasury that would finance a Job Guarantee program, which would eliminate mass unemployment, enhance price stability, and foster social and economic integration across Europe.


    Europe Macroeconomics
  • Employment Guarantee

    Jean Drèze. (2019). Sense and Solidarity.


    This chapter consists of five essays on India’s National Rural Employment Guarantee Act (NREGA). Two essays make the case for NREGA as a step towards the right to work, and responds to the critics. The third essay discusses the ground realities of corruption in NREGA, and how it can be prevented. The fourth essay draws attention to problems related to the timely payment of NREGA wages. The concluding essay discusses the productive value of NREGA works and the learning value of the implementation process. The chapter draws on a series of field surveys of NREGA in different Indian states, conducted with student volunteers over the years.


    Human Rights Implementation India
  • Examining the Perception of the Youths towards Kazi Kwa Vijana ( Work for the Youth ) Programmes in Kericho Municipality of Kericho County, Kenya

    Gilbert Langat. (2019). Editon Consortium journal of arts, humanities and social studies.


    This study was intended to examine the perception of the youths towards this programme and find out how the programme has been effective in sustainable youth employment through the Kazi Kwa Vijana programme in Kericho Municipality. This study was carried out amongst youths and their coordinators who participated in the projects of the Kazi Kwa Vijana programme in this Municipality. The study employed Hertzberg’s Two Factor theory which is effectively a theory of job satisfaction. Youths as employees of the KKV programme needed some hygiene and motivational factors referred herein as satisfiers and dissatisfiers. The challenges that affected the Kazi Kwa Vijana programme needed to be studied empirically so that remedial action is put in place for its sustainability in future and in the long run serve as a guideline for the many other projects to be initiated by the government. The study findings are useful to the Government of Kenya, Ministry of Youth Affairs and Sports, policy makers, NGOs, Kazi Kwa Vijana coordinators and all concerned stakeholders in devising workable strategies geared towards achieving the desired goals and objectives at the county and national level.


    Africa Implementation Quantitative Youth
  • Financial Control and the Employer of Last Resort

    Jan Toporowski. (2019). Society Register.


    This paper examines the policy that has been suggested to resolve involuntary unemployment by having the government employ any persons who register as unemployed. This policy is compared to the full employment proposal of Michal Kalecki. Kalecki’s proposals also contained a strategy for financing full employment. Like the Employer of Last Resort proposal, Kalecki’s strategy allows employment policies to be examined from financial control, rather than the usual approaches of examining the impact of employment policy on labour productivity, or inflation, although both come into the analysis. The paper, therefore, outlines the proposal for an employer of last resort, and the proposed financing of that policy. A second part looks at Kalecki’s proposals for full employment and its financing. A third part then considers the impact of the employer of last resort policy on financial stability.


  • Government as Employer of Last Resort as a Solution to Youth Unemployment in Developing Countries: Lessons from Ghana’s National Youth Employment Programme

    Timothy Yaw Acheampong. (2019). E-Journal of international and comparative labour studies.


    Due to the private sector’s inability to absorb the growing number of unemployed youths particularly in developing countries, as expected from neoclassical policies, critics of the neoclassical theory – the ‘critical view’ – have advocated for direct job creation programmes such as the Government as Employer of Last Resort (ELR) as a solution to all forms of unemployment. This paper provides evidence on the ability of Government to tackle youth unemployment based on a study of Ghana’s National Youth Employment Programme (NYEP) using features of the ELR proposal as an analytical tool. Design/methodology/approach. A mixed-methods, case study approach. Findings. Ghana’s NYEP has contributed to building some human capital; however, it does not meet all the criteria of an effective ELR scheme. Research limitations/implications. Although, the study focuses solely on Ghana’s NYEP, lessons from the programme’s implementation challenges should serve as a guide for governments and policy makers. Originality/value. This is the first independent empirical study on the NYEP and the first in Ghana and Africa based on the ELR framework. Paper type. Original research paper. Keywords: Labour Market, Youth Unemployment, Government as Employer of Last Resort (ELR), Ghana’s National Youth Employment Programme (NYEP), Developing Countries, Human Capital


    Africa Macroeconomics Quantitative
  • India: Learning from NREGA

    Jean Drèze. (2019). The Hindu.


    Corruption in NREGA works has steadily declined in recent years. There are important lessons here that need to be extended to other domains


    Implementation India
  • Institutional Economics and Chock-Full Employment: Reclaiming the “Right to Work” as a Cornerstone of Progressive Capitalism

    Charles J. Whalen. (2019). Journal of Economic Issues.


    In the United States, the “right to work” originally referred to a progressive call for the right to employment. For example, from the perspective of John R. Commons, the right to work included “the right of the unemployed to have work furnished by the government.” For Commons, that right was a logical outgrowth of Americans’ constitutional rights to life and liberty, “the next great human right.” This article reviews Commons’s right-to-work stance, the history of federal efforts to establish government as employer of last resort, and some key postwar institutionalist contributions to the literature on achieving jobs for all. Then it presents the case for reclaiming the right to work as a cornerstone of progressive capitalism.


  • On the Criticisms of and Obstacles to the Employer of Last Resort Policy Proposal

    Enrico Sergio Levrero. (2019). International Journal of Political Economy.


    AbstractRising inequality in income and wealth distribution and a huge waste of human resources (in the form of labor unemployment and underemployment) has once again led to a focus on Keynesian po…


  • Role of National Rural Employment Guarantee Act (NREGA) in Socio-economic Development in Hoshiarpur District of Punjab

    Neha Wasal, Neha Wasal. (2019). Current Journal of Applied Science and Technology.


    National Rural Employment Guarantee Act (NREGA) aimed at providing direct employment to the deserving rural people has been in operation for last many years. The present study had conducted to assess the role of NREGA programme with the following specific objectives: (i) To study socio-economic profile of the beneficiaries of NREGA (ii) To assess the contribution of NREGA in socio-economic development of its beneficiaries (iii) To identify the factors of success and failure (iv) To render suitable suggestions for further improvement in the NREGA programme. Research gap of this study was to analyze the profitability of social programmes being initiated by governments. Results showed Socio-economic profile of the respondents that most of the respondents were male, in the middle age group, hailing from Schedule Caste category and were having little education and low income level. The profile of beneficiaries of NREGA programme indicated that the benefits of this programme is going to the deserving people. Rural connectivity (repair of roads etc.), village cleanliness, plantation were the major areas in which the NREGA beneficiaries worked under the supervision of a Mate. The village Sarpanch proved to be the major person who made aware to the beneficiary and helped them to get employment under this programme. On an average beneficiary of NREGA got employment for 15 days in a month. All the beneficiaries of the NREGA programme got prescribed wage i.e. Rs.123 per day which was paid timely to the respondents. 1/5th of the respondents held that dependency on the farmers had reduced after joining NREGA programme and also wage rate had increased in other activities in villages due to the arrival of NREGA programme. 38 per cent of the respondents opined that NREGA activities helped them to remove idleness whereas 25 per cent of respondents felt more social recognized after joining NREGA. Overall the launching of NREGA programme had increased the demand for labour in rural areas. The non beneficiary of NREGA programme did not join the NREGA largely due to social inhibition (not ready to do labour in own village), low wage rate and irregularity of work. Irregular grants and work opportunities, less wage rate were the major constrains experienced by the beneficiaries of NREGA. Regularity in grants, generating adequate employment opportunity may prove more useful for NREGA beneficiary and society at large.


    Development India
  • Simulating an Employer of Last Resort Program

    Raymond Majewski. (2019). Growth, Distribution, and Effective Demand.


    In an employer of last resort Program the government, through some institutional arrangement, offers direct employment to anyone wishing to work. The total effect is an automatic stabilizer that does a better job of maintaining full employment and at least as good a job at maintaining price stability as policies. Developing a macroeconometric model is a time-consuming process requiring that the model be specified, estimated, and tested before policy experiments can be performed. FairModel–United States (FM) is a well established structural macroeconometric model that has existed in roughly its form since 1976. FairModel–United States breaks the economy down into six sectors: household, firm, financial, foreign, federal government, and state and local government. Many of the key relationships in the April 2000 version of FairModel–United States are very close to those of the Transformational Growth approach to economics developed by Edward J. Nell.


    Macroeconomics Modeling North America Quantitative
  • The Federal Job Guarantee: Prevention, Not Just a Cure

    Pavlina R. Tcherneva. (2019). Challenge.


    This paper, argues the author, examines how the Job Guarantee proposal uniquely meets two major social requirements. It is a policy response whose merits include much more than its macroeconomic stabilization features, as discussed in the literature. It is also, in a sense, a method of inoculation against the vile effects of unemployment. The paper discusses several preventive features of the program.


  • The Job Guarantee: Full Employment, Price Stability And Social Progress

    Dirk H. Ehnts, Maurice Höfgen. (2019). Society Register.


    This paper presents the idea of the Job Guarantee (JG), which is a logical extension of the paradigm of a tax-driven fiat currency. The JG involves the government offering a public purpose-oriented job with a fixed hourly wage and job benefits to anyone willing to work. The JG as a bottom-up approach is locally administered but federally funded. As the analytical lens of MMT reveals, a monetarily sovereign government is always able to provide the spending required. Macroeconomically, the JG works as an automatic countercyclical stabilizer and an excellent tool for aggregated demand management, ensuring the economy is continuously operating at full capacity. On top, the JG uses an employed buffer stock approach as a superior means to maintain price stability. Next to its favourable macroeconomic impacts, the JG offers many social benefits, particularly related to continuous employment, working conditions in the private sector, power relations in the labour market and democracy. While the JG and Universal Basic Income (UBI) are often discussed as comparable, competing policy proposals, the JG addresses more macroeconomic and social issues than the UBI does. This paper concludes that the JG qualifies for being the single most effective policy in order to drive the economy towards continuous full employment and price stability while realizing additional social benefits.


    Implementation Inflation Macroeconomics
  • The Welfare Effects of India’s Rural Employment Guarantee

    Stefan Klonner, Christian Oldiges. (2019). Oxford Poverty & Human Development Initiative (OPHI), Working Paper No. 129.


    We examine the welfare effects of India’s workfare program NREGA using a novel, almost sharp regression discontinuity design. We find large seasonal consumption increases in states implementing the program intensely, which are a multiple of the direct income gains. We also find increases in adolescents’ school attendance. Our results imply substantial general-equilibrium effects. We conclude that the public employment program holds significant potential for reducing poverty and insuring households against various adverse implications of seasonal income shortfalls – when properly implemented.

    Keywords: public works, employment program, social welfare programs, poverty alleviation, safety net, labor markets, poverty, schooling, child labor, India


    Development India Macroeconomics Quantitative Youth
  • A Consensus Strategy for a Universal Job Guarantee Program

    L. Randall Wray. (2018). The Levy Economics Institute.


    The idea of a universal job guarantee (JG) policy for the United States has become the subject of renewed public debate due to a number of high-profile political endorsements. L. Randall Wray recently coauthored a report that presented a JG proposal “the Public Service Employment program”along with estimates of the economic impact of the plan. However, several other variants have been proposed and/or endorsed. In this policy note, Wray seeks to establish common ground among the major JG plans and provides an initial response to critics.


    Macroeconomics Modeling Quantitative
  • A Green Job Guarantee & the Limits of Ecological Theory

    Maxximilian Seijo. (2018). Global Institute for Sustainable Prosperity, Working Paper No. 120.


    This paper reorganizes ecological theory around monetary issuance in order to make visible inclusive paths to ecological egalitarianism. It locates a limiting decentralized localism in Post- Earth Day ecological theory, typified in Arne Næss’ ‘deep ecology’ movement. In doing so, the paper argues that these limits contribute to our deficient global response to the current and incoming effects of climate change. Given the potential revolutionary resurgence of public interest in the central tenant of the Green New Deal, a federal job guarantee, this essay insists on an ecology of centralization that can actualize such a response. By extending the work of Martin Heidegger, it identifies an egalitarian ecology in the abundant and abstract ecological relationality of money as a medium of governance.


    Environmental Sustainability Implementation Macroeconomics
  • A Job Guarantee

    Steven Hail. (2018). Economics for Sustainable Prosperity.


    This chapter opens with a discussion of the impact of involuntary unemployment on subjective well-being, based on research undertaken by psychologists and others. A comparison is made between the impact of unemployment and changes in income on subjected well-being. It is shown that there are significant non-pecuniary benefits to paid employment and that full and equitable employment is essential to sustainable prosperity. It is argued that full and equitable employment supported by a job guarantee is consistent with moderate and stable rates of inflation and ecological sustainability.


    Environmental Sustainability Inflation Macroeconomics
  • A Just Social Wage and a Job Guarantee

    Steven Hail. (2018). Global Institute for Sustainable Prosperity, Policy Note No. 117.


    “The real value of this minimum social wage should be set immediately at a level which restores to the low paid their fair share of national income distribution, accounting for increases in both the cost of living and the benefits of technological change and rising labour productivity over the past half-century. It should not be seen as a mechanism to keep wages down, as is the case with the threat of unemployment at the moment. Instead, the goal should be to raise the relative wage of the low paid, and by doing so to engineer a much greater degree of income equality (Mitchell 2013).

    Any inflationary consequences should be negated by an increase in tax rates on those at the top of the wealth distribution, to create space for the low paid to spend more out of their higher incomes, without pushing the economy beyond its productive capacity. A movement towards a more progressive tax system, such as the one which existed fifty years ago, alongside a radical increase in real minimum wages rates, supported by a job guarantee, would play a major part in a transition to a future of sustainable prosperity (Tcherneva 2015).”


    Implementation Macroeconomics
  • A Path to Ending Poverty by Way of Ending Unemployment: A Federal Job Guarantee

    Mark Paul, William Darity, Darrick Hamilton, Khaing Zaw. (2018). RSF: The Russell Sage Foundation Journal of the Social Sciences.


    Poverty in the United States, one of the world’s most wealthy and prosperous nations, is persistently high. Despite a complex array of social insurance programs in place, 43.1 million people remain in poverty. Because unemployment is a strong predictor of poverty, we propose a permanent federal job guarantee for all Americans. The program would provide full-time employment for any American over eighteen, offering at least nonpoverty wages plus benefits. Such a program will constitute a direct route to producing full employment by eradicating involuntary unemployment. It also will substantially increase worker bargaining power by removing the employer threat of unemployment. To make the case that the federal job guarantee is viable, this paper includes responses to five common criticisms lodged against programs of this type.


    Macroeconomics North America
  • Do We Need a Federal Jobs Guarantee? A Debate.

    Rohan Grey, Raul Carrillo, Matt Breunig. (2018). In These Times, July Issue.


    Most workers work too much and too hard, only to benefit the idle rich. Thus, we support reducing working hours and capital’s share of wealth.  Yet evidence suggests exclusion from work causes problems beyond the absence of income, including higher mortality and suicide rates, social isolation and a permanent decline in well-being.

    To address these evils, we echo Martin Luther King’s call for “a job to all … who want to … and are able to work,” and “an income for [those] not able to work.” Specifically, we support a federally funded, locally driven job guarantee (JG), which, like programs envisioned by Sen. Bernie Sanders’ (I-Vt.) and economists at the Levy Economics Institute and Center on Budget and Policy Priorities, commits the federal government to guarantee a living wage job with good benefits, including healthcare, to anyone who wants or needs it.


    Gender Human Rights Implementation North America Racial Justice
  • Does workfare work well? The case of the employment generation program for the poorest in Bangladesh

    Yoonyoung Cho, Ummul Hasanath Ruthbah. (2018). Social Science Research Network.


    Evidence on the effectiveness of workfare as an anti-poverty program in developing countries is weak compared with the relatively well-established role of public works during economic crisis as a social safety net. This paper contributes to evidence building by examining the impact of a large-scale workfare program in Bangladesh, the Employment Generation Program for the Poorest. Taking advantage of the program’s distinguishable feature of direct wage transfer to a person’s bank account, the paper uses accessibility to local banks as an instrumental variable to identify the program’s impacts on rural social assistance beneficiaries. Based on locality-by-time fixed effects models over two rounds of locality panel data, the analysis finds that the Employment Generation Program for the Poorest has contributed to increasing overall household consumption and reducing outstanding loans. In particular, expenditures on quality food and health care have significantly increased, which likely helps individuals continue to engage in income-generating activities in the labor market. However, the implementation costs and poor quality of public assets built through work projects could potentially undermine the program’s efficiency. Moreover, further evidence is required on the impacts of work experience through workfare on subsequent labor market outcomes and the value of public assets, to assess the program’s effectiveness compared with administratively simpler alternative instruments such as unconditional cash transfers.


    Asia Development Implementation Modeling Quantitative
  • Economic evaluation of public programmes: lessons from the Expanded Public Works Programmes in South Africa

    Noluthando Matsiliza. (2018). Public and Municipal Finance.


    This review aims at assessing the economic evaluation of public programmes such as the expanded public works programmes (EPWP) in South Africa. The South African government earmarked the EPWP for departments and municipalities to implement projects that are meaningful for economic transformation and inclusive growth. This study argues that economic evaluation of public programmes must consider the interplay of complex decisions making on resource allocations and take into account consequences thereafter in a systematic way. This review paper adopted a qualitative document analysis, where data is drawn from research reports on programme evaluation, policy documents, EPWP evaluation reports, books and articles drawn from accredited journals. Key findings from this study draw attention to unfulfilled great expectations to sustain job creation in an emerging economy in South Africa. Results also revealed that although the design was suitable for the evaluation, it was not compared to any other alternative cost-effective measurement strategy to assess the economic value of the EPWP in South African public service. Based on the lessons from EPWP, this study recommends an integrative approach to evaluate job creation programmes in order to settle on the economic value of EPWP.


    Africa Implementation Quantitative
  • Employment Guarantee Programs as Automatic Stabilizers: Stylized Facts on a Macro Context and Micro Structure for Argentina

    Emmanuel Agis, Daniel Kostzer. (2018). Full Employment and Social Justice.


    In this document, we analyze the fundamentals underpinning the performance of the Argentine economy since the abandonment of the Convertibility regime, with the labor market and income distribution at the center of the analysis. We will attempt to break down the elements that contribute to a sustainable path of growth that, in turn, lead to a reduction in inequity levels in the country.


    Inflation Macroeconomics South America
  • Fiscal Policy, as the “Employer of Last Resort”: Impact of MGNREGS on Labour Force Participation Rates in India

    Lekha Chakraborty, Yadawendra Singh. (2018). National Institute of Public Finance and Policy.


    We examine the impact of conditional fiscal transfers on public employment across gender in India taking the case of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). The MGNREGS, as an “employer of last resort” fiscal policy, is a direct employment transfer, which guarantees to provide 100 days of paid work opportunities at a predetermined wage for public works in India through a self-selection criterion. Using unit record data of the latest 68th round of NSS Employment-Unemployment survey, we examined gender differential impacts of MGNREGS on labour force participation rates across States in India. The unit of analysis in our paper is not `household’, but is one step ahead to capture the intra-household level of participating behaviour in the economic activity. The results, based on the survey enumerating 2,80,763 individuals in rural areas, revealed that there is a striking heterogeneity in the gender impacts of job guarantee programme across States of India. The probit estimates showed that MGNREGS job card holder’s labour force participation rates were higher than the non-card holders and the result was more pronounced for women. The analysis of the time-use patterns and the unpaid care economy statistics of job guarantee card holders obtained from the unit records also shows that augmenting public investment in care economy infrastructure is significant for the job guarantee programme to function at its full potential in India.


    Gender Implementation India Quantitative
  • Full Employment and Freedom

    David Stein. (2018). Jacobin Magazine.


    In recent weeks, a federal job guarantee has rapidly gained momentum, with many Democrats backing the idea. That’s welcome news to those who have long advocated the goal — activists in black freedom movements and the National Jobs for All Coalition, as well as contemporary economists like William Darity Jr., Darrick Hamilton, Pavlina Tcherneva, and Stephanie Kelton.

    The recent discussion is something of a throwback to a previous era. From 1944 to 1980, full employment proposals found themselves in the Democratic Party’s platform every four years. And in the 1970s, Coretta Scott King and others in the civil rights movement pushed for full employment as the next phase of their struggle for freedom.


    Health Inflation Macroeconomics North America Racial Justice
  • Full Employment and the Job Guarantee: An All-American Idea

    William Darity, Darrick Hamilton. (2018). Full Emplyoment and Social Justice.


    This chapter explores the development of the principle of a universal right to employment in the United States from Roosevelt’s Economic Bill of Rights to the contemporary efforts of economists based at the University of Missouri, Kansas City. Contribution to the development of the job guarantee scheme by black economists and advocates is given special attention. The breadth of support for the job guarantee across the ideological spectrum indicates that it is an idea whose time has come.


    Human Rights Macroeconomics North America
  • Full Employment, or a New Reserve Army? A Marxian Critique of the Employer of Last Resort

    Michael Heubusch. (2018). SUNY Buffalo.


    The notion that the government should guarantee jobs is gaining political popularity in the United States. Over the past twenty years, a branch of post-Keynesians has developed a policy proposal known as the employer of last resort (ELR), which they argue would achieve full employment through direct government job creation. However, many have argued that this proposal is deficient, both in its design and its potential for implementation. While most critiques of this policy have come from other post- Keynesians, this thesis contributes to the controversy surrounding the ELR by examining it from a Marxian perspective. Specifically, this thesis aims to address the ELR’s neglect of political and class power dynamics. Included in this investigation is a comparative- critical analysis of the post-Keynesian and Marxian theories of unemployment and of the state, which I argue exposes deficiencies in the post-Keynesian theory. While I am sympathetic to the goals of the ELR, I argue that the lack of class analysis in post- Keynesian theory and policy inhibits the ELR advocates from appreciating the obstacles to the achievement of their goals. Therefore, I would suggest that Marxian analysis be incorporated into ELR theory and policy proposal.


  • Guaranteed Jobs through a Public Service Employment Program

    L. Randall Wray, Stephanie A. Kelton, Pavlina R. Tcherneva, Scott T. Fullwiler, Flavia Dantas. (2018). A Modern Guide to State Intervention.


    Amid a recent upsurge in support for a national job guarantee program, L. Randall Wray, Stephanie A. Kelton, Pavlina R. Tcherneva, Scott Fullwiler, and Flavia Dantas outline a new proposal for a federally funded program with decentralized administration. Their Public Service Employment (PSE) program would offer a job ”paying a uniform living wage with a basic benefits package” to all who are ready and willing to work. In advance of an upcoming report detailing the economic impact of the PSE, this policy note presents an overview of the goals and structure of the program in the context of current labor market trends and the prospects of poverty reduction.


    Macroeconomics Modeling Quantitative
  • Increasing the Minimum Wage with the State as Employer of Last Resort: A “Predistribution” Proposal for Mexico

    Bruno Sovilla. (2018). International Journal of Political Economy.


    Mexico is a country of extreme inequality where opposition from politico-economic elites has prevented implementation of redistributive policies that Nicholas Kaldor suggested half a centur…


    Macroeconomics South America
  • On the Reservation: Toward a Job Guarantee Program for American Indian Nations

    Michael J. Murray. (2018). Full Employment and Social Justice.


    The chapter proposes a job guarantee (JG) program for residents of American Indian reservations to combat chronic poverty and unemployment. The chapter furthers research on the racial wealth and employment gap; and serves as a case-study on the social costs of unemployment and the moral necessity of full employment. The chapter details the social and economic injustice laid upon American Indians from 200 years of US policy geared toward assimilation, termination, and acculturation. This history contextualizes the failing, pro-capitalist, Euro-centric policies of today which struggle to combat chronic poverty and lasting unemployment. Instead these mainstream policies further encroach on American Indian sovereignty. The chapter makes a case for a new progressive approach to development that centers on the non-profit nature of job guarantee proposals to sustain economic growth, enrich cultural development, and strengthen American Indian sovereignty.


    Macroeconomics North America Racial Justice
  • Programa social de empleo temporal trabaja Perú y la calidad de vida en los pobladores del Distrito de Picsi, Provincia de Chiclayo, Región Lambayeque, 2014 – 2015

    Daniel Samillan Rodriguez, Camen Graciela Arbulú Pérez Vargas. (2018). UCV HACER.


    El presente estudio denominado Programa Social de Empleo Temporal Trabaja Perú y la calidad de vida en los pobladores del Distrito de Picsi, Provincia de Chiclayo, Región Lambayeque, 2015, tuvo como objetivo la evaluación del impacto del Programa Social de Empleo Temporal Inclusivo Trabaja Perú en relación al mejoramiento de la calidad de vida en los beneficiarios del distrito de Picsi. El diseño del presente estudio fue no experimental transversal, el cual implicó la medición de las variables, donde se observó la descripción e interpretación de los resultados obtenidos. Al mismo tiempo el estudio implicó la aplicación de encuestas a 134 pobladores del distrito de Picsi, donde 67 de ellos fueron participantes del programa Trabaja Perú. Se obtuvo como resultado que el 60% de la población del distrito de Picsi opinó que el programa les ayudó a conseguir un empleo nuevo, seguidamente con el 40% de las opiniones de los pobladores opinaron que el programa no les ayudó a conseguir un empleo nuevo. Se llegó a concluir que existe una muy buena aceptación con más del 70% de los participantes del programa. Finalmente, se recomienda a las unidades zonales y gerenciales de línea, mejorar de manera continua la supervisión y monitoreo de los proyectos del programa Trabaja Perú con el fin de generar empleos temporales y puedan concluir con las obras en su debido tiempo.


    Implementation Macroeconomics Quantitative South America