Employment measures would benefit from more careful impact assessments

The Labour Institute for Economic Research LABORE’s estimate of economic growth in the current year still appears roughly correct. Most demand components are contracting more than we anticipated this year, but imports are also contracting sharply. Private consumption too is contracting more than we forecast, but is likely to pick up next year as inflation slows. The effects of the government’s employment measures will probably fall short of what is hoped for, and an independent body outside the Ministry of Finance should be appointed to assess their impacts. (AI translation)

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