Abstract

RAMIREZ CEDILLO, Eduardo. El gobierno como empleador de última instancia: una alternativa de programa público de empleo (PPE). Prob. Des [online]. 2006, vol.37, n.144, pp.171-191. ISSN 0301-7036.

Given the growing rate of unemployment and the impossibility of creating jobs via private enterprise, it is necessary that the government establish a program of public employment able to promote economic reactivation. Unemployment is extremely costly for an economy and it is illogical that, when it is possible to reduce it, no government program is implemented to deal with it. The reason for not creating it has to do with two impediments: a scarcity of resources to carry it out and the possibility that it may lead to inflation. This paper seeks to provide arguments in favor of a public employment program that necessarily gives rise to more benefits than the prejudices which may be imputed.

Keywords : employment; unemployment; government spending; inflation; deflation.

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