By CPB Netherlands Bureau for Economic Policy Analysis
Challenging Neighbours presents vast assurance of the German and Dutch economies, from an institutional perspective. Pensions, pageant coverage, labour relatives, company governance, and health and wellbeing care are one of the subject matters for which the institutional surroundings and function of Germany and the Netherlands are in comparison. The problems and successes the nations have in dealing with pressures from getting older inhabitants, advancements in know-how, and international pageant are traced again to their institutional roots, and result in mutual classes for institutional reform for German and Dutch coverage makers.
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Extra info for Challenging Neighbours: Rethinking German und Dutch Economic Institutions
With respect to regulation policy, many other measures still have to be worked out into details. Both Germany and the Netherlands are in the process of implementing European Union directives, mainly aimed at liberalising sectors with a natural monopoly nature. In telecommunications, competition will be intensified by more network competition and a less restrictive concessions policy. Germany is somewhat behind in this respect as German Telecom is one of the few monopolistic operators in Europe that controls the cable TV network.
Collective Bargaining: More Regional and Firm-Specific Variations. With respect to wage fonnation, the Dutch system involves a mixture between commitment and flexibility and between centralization and decentralization. Consensus building at the centralized level makes labour relations at the finn level less confrontational, improves the internalization of extern al effects and strengthens commitment. A number of finn-Ievel agreements can account for finn-specific conditions and preferences, although the general framework for these agreements is still influenced by the central level.
Labour market institutions are broadly defined as arrangements that structure the interactions between individual employers, workers and outsiders. They govern labour relations between employers and employees, managers and employees, and affect the position of outsiders and insiders. Hence, both labour market regulations and cooperative arrangements between (organised) employers and employees are considered. Chapter 8 starts with the analytical framework. Subsequently, it compares labour market regulations that provide the institutional environment for cooperative exchange and competition on the German, Dutch and American labour markets.