By Organisation for Economic Co-operation and Development

ISBN-10: 9264011692

ISBN-13: 9789264011694

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Additional resources for OECD Economic Surveys: Euro Area 2005

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Explaning the income gap 2002, in 2000 PPP terms Percentage gap with respect to US GDP per capita = Effect of 1, 2 labour resource utilisation + Effect of 1, 3 labour productivity IRL AUT NLD FIN BEL FRA ITA DEU EURO ESP GRC PRT -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 CAN DNK AUS SWE GBR JPN EURO NZL 1. Percentage gap with respect to the US level. 2. Labour resource utilisation is measured as total number of hours worked divided by population.

Making markets work better Structural reform in the euro area pursues the primary objective, solemnly established in Lisbon in 2000, of turning the European Union into “the most competitive and dynamic knowledge-based economy in the world” by 2010. However, progress towards this goal has been disappointing thus far (Chapter 4). As noted, on unchanged policies, population ageing implies that the euro area’s potential output growth is set to decelerate and the income gap with the United States to widen considerably.

OECD ECONOMIC SURVEYS: EURO AREA – ISBN 92-64-01169-2 – © OECD 2005 29 1. 3. Explaning the income gap 2002, in 2000 PPP terms Percentage gap with respect to US GDP per capita = Effect of 1, 2 labour resource utilisation + Effect of 1, 3 labour productivity IRL AUT NLD FIN BEL FRA ITA DEU EURO ESP GRC PRT -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 -50 -40 -30 -20 -10 0 10 CAN DNK AUS SWE GBR JPN EURO NZL 1. Percentage gap with respect to the US level.

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OECD Economic Surveys: Euro Area 2005 by Organisation for Economic Co-operation and Development


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