Evaluation of IMF programmes on employment in the EU

Gurgen Ohanyan · Armenia Androniceanu

16 citations0/0 files storedActa Oeconomica

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International Development and Aid Global Financial Crisis and Policies European Monetary and Fiscal Policies

Abstract

The International Monetary Fund (IMF) has undergone notable changes by starting collaboration with the European Union (EU). Hence, this paper seeks to estimate the effects of IMF programmes on employment, with data from the EU-28 between 1993 and 2013. In order to control for selection on observable and unobservable variables, the study employs Propensity Score Matching in combination with the Differences-in-Difference estimator. Next, the robustness of the findings is checked by applying four different matching algorithms. Our paper concludes that employment decreases once a country resorts to the IMF, and this impact is still measurable after two years of programme initiation.

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References

2012The European Sovereign Debt Crisis 2000The effect of IMF programs on economic growth 2006IMF and economic growth: The effects of programs, loans, and compliance with conditionality 2010The Cross-Country Incidence of the Global Crisis 2009IMF conditionality: theory and evidence 2006The International Monetary Fund: Politics of Conditional Lending 1994IMF lending programs: Participation and impact 1997Economic determinants of IMF financial arrangements

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