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Germany and the US have different official definitions for who is "unemployed."

In both, the fundamental definition seems to be "one who is collecting unemployment benefits."  That is, though, where the big difference lay, as German unemployment benefits (pre-Hartz IV, at any rate) are given without time constraint.  US unemployment benefits typically run out after 6 months.  Americans without jobs get categorized as "discouraged" after a certain amount of time and are statistically dropped from the labor force.  In Germany, they remain "unemployed."

Therefore, American unemployment percentages look nicer than German ones would for the same proportion of job-seekers.

I need to do a bit more research on it, but those are the basics.

by Texmandie on Fri Aug 12th, 2005 at 05:13:22 AM EST
[ Parent ]
That's very much true, but we are talking about employment, not unemployment, figures here. Or - Colman, was that 3% you mentioned about unemployment?

*Lunatic*, n.
One whose delusions are out of fashion.
by DoDo on Fri Aug 12th, 2005 at 06:06:47 AM EST
[ Parent ]
Unemployment. The froth coming out of my ears was making it hard for me to be clear.
by Colman (colman at eurotrib.com) on Fri Aug 12th, 2005 at 05:38:58 PM EST
[ Parent ]

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