Search Results (56)

Digitalisation is reshaping commercial systems in Europe, yet the joint evolution of national digital capabilities, e-commerce and macroeconomic performance remains imperfectly understood. This article develops a parsimonious Digital Maturity Index for the EU-27 over 2015–2023 and examines its association with the share of enterprise turnover generated through e-commerce using a systems-oriented econometric design. Two-way fixed-effects and dynamic panel models show that e-commerce turnover is strongly persistent within countries and systematically higher in more trade-open economies and in labour markets with slightly higher unemployment, after controlling for income and unobserved heterogeneity. The marginal effect of digital maturity on e-commerce intensity is small and statistically fragile, suggesting that digital capabilities act more as a slow-moving state variable than as a direct short-run driver of online sales. The marginal within-country effect of digital maturity on e-commerce intensity is small and statistically fragile once unobserved heterogeneity is controlled for, whereas trade openness and labour-market conditions remain robust correlates. The PVAR results suggest a stable system with strong persistence in e-commerce and digital maturity, limited spillovers to growth and a pronounced temporary contraction in output during the COVID-19 shock. Full article

This study investigates the efficiency of higher education systems across the 27 Member States of the European Union during the period 2017–2022, addressing increasing policy interest in data-driven decision support and optimization techniques for performance evaluation in education systems. Efficiency is assessed using Stochastic Frontier Analysis, an optimization-based econometric approach, applied to multiple output dimensions relevant to learning analytics: alignment between graduates’ skills and labour market requirements, scientific productivity measured by published articles, and the number of higher education graduates. The model incorporates key input variables, including the student–teacher ratio, public expenditure per student, research and development expenditure, and the number of academic staff, while controlling for real gross domestic product per capita. To support integrated efficiency measurement and information-based decision-making, multidimensional outcomes are aggregated into composite efficiency indices using entropy-based weighting. The results reveal substantial cross-country heterogeneity in efficiency across EU higher education systems, identifying a cluster of high-performing countries that consistently optimize scientific output and graduate production. Financial resources and academic staff availability emerge as significant drivers of efficiency, while skill matching to labour market demand remains a persistent structural challenge. By combining Stochastic Frontier Analysis with entropy-based aggregation, this study provides a robust data-driven decision support framework for efficiency assessment, offering valuable insights for education policy design, resource allocation, and learning-oriented system optimization. Full article

The transition to a low-carbon economy is profoundly reshaping European labour markets, creating both opportunities for sustainable employment and challenges for regions reliant on carbon-intensive sectors. Assessing how prepared EU Member States are for this shift remains difficult due to the lack of unified evaluation tools. This study introduces the Green Labour Market Readiness Index (GLMRI)—a composite measure assessing the adaptability of national labour markets to the energy-driven green transformation in nine EU countries: Germany, France, Sweden, Spain, Italy, Greece, Poland, Romania, and the Czech Republic. The index integrates five dimensions—education and skills, investment and infrastructure, policy and institutional quality, labour market structure, and innovation—based on harmonized data from 2010 to 2024. Panel econometric models (Fixed and Random Effects), combined with Hausman tests, are used to examine how structurally independent external energy-system characteristics, institutional capacity, and macro-structural labour-market conditions are associated with observed variation in labour-market readiness, as captured by the GLMRI composite outcome. Machine learning algorithms (Random Forest, XGBoost, LSTM) are employed to forecast readiness trajectories until 2040 under alternative policy scenarios. Results reveal persistent asymmetries between Northwestern and Southeastern Europe, showing that successful energy transition is closely associated not only with investment and innovation but also with human capital and governance quality. These associations are interpreted as diagnostic rather than causal, highlighting how external structural conditions shape the translation of energy-transition pressures into differentiated labour-market outcomes. The GLMRI provides a methodological and policy-relevant framework, helping decision-makers prioritize resources and design measures that make Europe’s energy transition sustainable, inclusive, and equitable. Full article

The persistent shortage of ICT specialists across the European Union has intensified the strategic relevance of digital human capital as a determinant of labour market resilience and structural competitiveness. This study provides a systematic assessment of how ICT human capital—proxied by ICT tertiary enrolments, graduate output, and specialist employment—shapes the employment prospects of recent tertiary graduates in the EU-27 between 2013 and 2023. Drawing on harmonised Eurostat panel data and fixed-effects estimations with robust corrections for cross-sectional dependence, the analysis disentangles both direct effects and context-specific moderations associated with economic development, urbanisation patterns, and renewable energy penetration. Results demonstrate that ICT enrolments exert a consistently positive influence on graduate employability, whereas the labour market impact of ICT graduates and specialists is heterogeneous, reflecting differentiated absorptive capacities and sectoral saturation dynamics across Member States. Interaction effects further reveal that the urban concentration attenuates marginal returns to ICT education, while the integration of digital and green transitions remains institutionally underdeveloped. Collectively, the findings position digital tertiary education as a core pillar of sustainable employment formation yet highlight the necessity of coordinated policy architectures that align higher education pathways with regional labour market structures and the evolving green-digital policy agenda in Europe. Full article

The Mercosur countries (also known as the Southern Common Market countries) and the European Union (EU) Member States are two major global agri-food exporters whose production structures, patterns of specialisation and sustainability standards differ significantly. The upcoming entry into force of the EU–Mercosur Partnership Agreement (EMPA) may alter competitive conditions in the EU agri-food markets, as its most important component—the EU–Mercosur Interim Trade Agreement—provides for tariff liberalisation. The aim of this article is therefore to compare the agricultural production potential of Mercosur and the EU countries using a set of indicators grouped into production factors (land, labour and capital), productivity, production structure, and qualitative sustainability-related factors. The analysis employs comparative and dynamic statistical methods (including compound annual growth rates and measures of variability). The study is based on FAOSTAT data for 2018–2023, complemented by information on regulatory frameworks and EMPA provisions. The results show that agriculture in Mercosur is land-abundant, cost-efficient, and oriented toward export-driven livestock and commodity production, while the EU is characterised by higher capital intensity and significantly higher land and labour productivity. These structural asymmetries, reinforced by lower input costs and less stringent production standards in Mercosur, suggest increased competitive pressure in the EU market after EMPA implementation, particularly in beef, poultry, sugar and ethanol. The findings highlight the need for continuous monitoring of market dynamics and, where necessary, the activation of safeguard mechanisms. The study provides also an updated evidence base to support policymakers in assessing the implications of the EMPA. Full article

Higher education (HE) funding mechanisms in the European Union (EU) are undergoing substantial reform, with universities facing increasing pressure to improve performance outcomes under constrained public budgets. This study analyses how the design of HE funding mechanisms—specifically, the logic of resource allocation and the principles of performance evaluation, together with the volume of public investment, macroeconomic conditions, and demographic factors—affect graduation rates in the EU. The study uses panel data from 27 EU Member States for the period 2013–2023 and applies multiple regression models with one- to four-year lags to assess the delayed effects of funding and economic factors. The results showed that a larger share of young people in the population and public expenditure per student are positively and statistically significantly associated with higher graduation rates (p < 0.01). Meanwhile, the overall level of funding (HE expenditure as a share of GDP) and performance-based funding (PBF) mechanisms are associated with lower graduation rates (p < 0.01). GDP per capita has a negative effect (p < 0.01), indicating that stronger labour market opportunities may reduce the motivation to complete studies. Youth unemployment and inflation proved to be statistically insignificant (p > 0.05). The most substantial effect was found after two years, confirming the delayed but weakening impact of funding and macroeconomic factors on study graduation rates. The study extends previous work by integrating an analysis of funding design and time dimensions at the EU level. The results emphasise that it is not so much the amount of funding that is important for higher education outcomes, but instead how it is funded—therefore, targeted, student-oriented investments and long-term policy consistency are necessary to achieve higher graduation rates. Full article

This entry presents the history, geography, business, regulations, and the roles of gig workers, platform/algorithms, and employers, focusing primarily on the USA and the EU. The gig economy is informally referred to also as the fourth industrial revolution or the 1099 economy, emphasising sharing, freelance, or platform work; it is a complex and changing business model and regulatory environment. In practice, the gig economy refers to a tripartite relation between workers, platforms/apps, and employers, leading to a two-sided market, where algorithms match supply and demand for paid labour and clients. It is only recently that the gig economy has started to be conceptualised, and its implications, challenges, and impacts are captured in economic law and society, including the power dynamics related to the interplay between economics, technology, regulation, and communities. Conceptually, the gig economy is important, as small paid work has always been present in society for all types of workers and beneficiaries. This new business model of on-demand work has some perceived advantages, such as freedom of work, under-regulation, efficient use of capital, driving down costs, and improving services. However, there is a dualisation of anti-power between workers and non-employers that may lead to precarious work, less free workers, and shadow corporations that distort the market using game changers like digital management algorithms. Currently, the size of the gig economy comprises 154–435 million gig workers out of the world’s 3.63 bn workers, with a market size of USD 557 bn, and is still expanding. Full article

Intersectoral labour mobility is a key driver of economic resilience and innovation in Europe. The redistribution of workers across sectors and regions enables economies to adapt to shocks, create flexibility and increase the rate of structural change. However, the dynamics of mobility have not been adequately investigated across varying scales of sectoral granularity and spatio-temporal dimensions. This paper applies the Intersectoral Mobility Index (MI) to all European NUTS-2 areas from 2008 to 2020, utilising Eurostat Structural Business Statistics. Two levels of sectoral aggregation (NACE Rev. 2, 1-digit and 2-digit) are employed to compute MI, capturing both broad and fine-grained reallocations. Classical indices of structural change (NAV, Krugman, Shorrocks) are combined with spatio-temporal modelling in ArcGIS Pro, employing Space–Time Cubes, time-series exponential smoothing forecasts, time-series clustering and emerging hot spot analysis. Results indicate that MI distributions are positively skewed and heavy-tailed, with peaks coinciding with systemic crises (2009–2011, 2020). At the 2-digit level, MI values are significantly higher, revealing intra-sectoral changes obscured in aggregated data. A statistically significant downward trend in mobility suggests an increasing structural rigidity following the global financial crisis. Regional clustering highlights heterogeneity: a small number of regions, such as Bremen, Madeira and the Southern Great Plain, have sustained high or unstable mobility, while most exhibit convergent mobility and low reallocation. This paper contributes to the conceptualisation of MI as a dual measure of resilience and innovation preparedness. It underscores the importance of multi-scalar and spatio-temporal methods in monitoring labour market flexibility. The findings have policy implications, including the design of targeted reskilling programmes, proactive labour market policies and just transition plans to maintain regional resilience during the EU’s green and digital transitions. Full article

In Poland, the gradual reduction in hard coal mining represents a cornerstone of the energy transition and economic restructuring strategy, with all mines scheduled to close by 2049 under the Social Agreement. Given Poland’s strong reliance on coal, this process has far-reaching implications for energy security, employment, regional development, and macroeconomic stability. The aim of this study is to assess the role and scale of the hard coal mining sector’s contribution to GDP and to examine the consequences of its gradual decline for the national energy mix. In the input–output framework, a reduction in domestic hard coal supply is modelled as a shock to the output of the disaggregated hard coal sector, affecting both intermediate demand and value added through inter-industry linkages. The analysis applies an inter-industry input–output framework based on a decomposed Input–Output Table of Poland, where the aggregated “hard coal and lignite” branch was disaggregated into thermal hard coal, coking coal, and lignite. Reduction Variants (WR25%, WR50%, WR75%, and WR100%) were combined with Substitution Variant WS2, which assumes replacement of domestic hard coal with imported coal, natural gas, and electricity under varying price scenarios (−40% to +40% relative to reference levels). The Migration Variant was also included to account for labour market effects. This approach generated a set of 100 scenarios, reflecting possible pathways of Poland’s energy transition. The results demonstrate that in every scenario, reducing domestic hard coal supply leads to a decline in GDP. Losses range from −0.175% to −0.25% under WR25% scenarios to between −0.775% and −1.1% under WR100%, depending on the relative prices of imported substitutes. Substitution patterns are highly sensitive to price dynamics: under low natural gas prices, gas dominates the replacement mix (over 57% share), while under high gas prices, imported coal prevails (70–90%). Electricity imports consistently remain marginal. These outcomes highlight Poland’s structural dependence on coal, the vulnerability of GDP to external price shocks, and the limitations of substitution options. This study concludes that the reduction in domestic coal mining, though inevitable in the context of the EU climate policy, will not be economically neutral. It requires careful management of substitution pathways, diversification of the energy mix, and socio-economic support for coal regions. The input–output framework used in this research offers a robust tool for quantifying both direct and indirect effects of the coal phase-out, supporting evidence-based policy for a just and sustainable energy transition. Full article

The shadow economy weakens fiscal sustainability, hampers the financing of public goods, and impedes the achievement of sustainable development goals. The informal sector remains a persistent challenge for policymakers, as it distorts competition, reduces transparency, and undermines the effectiveness of economic and fiscal policies. The aim of this article is to identify the key factors determining the size of the shadow economy in European Union countries and to provide policy-relevant insights. The analysis covers data on the share of the informal economy in GDP and macroeconomic variables such as GDP per capita, consumer price index, average wages, household consumption, government expenditure, and unemployment, as well as indicators of digital development in society and the economy (DESI, IDT), the share of cashless transactions in GDP, and information on the implementation of digital tax administration tools and restrictions on cash payments. Five hypotheses (H1–H5) are formulated concerning the effects of income growth, labour market conditions, digitalisation, cashless payments, and tax administration tools on the shadow economy. The research question addresses which factors—macroeconomic conditions, economic and social digitalisation, payment structures, and fiscal innovations in tax administration—play the most significant role in determining the size of the shadow economy in EU countries and whether these mechanisms have broader implications for fiscal sustainability and sustainable development. The empirical strategy is based on multilevel models with countries as clusters, complemented by correlation and comparative analyses. The results indicate that the most significant factor in limiting the size of the shadow economy is the level of GDP per capita and its growth, whereas the impact of card payments appears to be superficial, reflecting overall increases in wealth. Higher wages, household consumption, and digital development as measured by the DESI also play an important role. The implementation of digital solutions in tax administration, such as SAF-T or e-PIT/pre-filled forms, along with restrictions on cash transactions, can serve as complementary measures. The findings suggest that sustainable strategies to reduce the shadow economy should combine long-term economic growth with digitalisation and improved tax administration, which may additionally foster the harmonisation of economic systems and support sustainable development. Full article

The 2020 Europe Strategy was designed as a comprehensive framework to promote smart, sustainable and inclusive growth in the European Union (EU), particularly emphasising the ‘20/20/20’ targets related to climate protection and energy policy. This study provides an ex post evaluation of the extent to which the strategy’s objectives were achieved in the member states of the EU in the period 2010–2020. The analysis is based on Eurostat data and uses Hellwig’s multidimensional comparative analysis to construct a synthetic indicator of progress. The results show that EU countries have made significant advances in reducing greenhouse gas emissions and increasing the share of renewable energy in gross final energy consumption, with Sweden and Finland identified as leaders, while Malta and Hungary lagged behind. Primary energy consumption overall decreased, although only a minority of the member states reached the planned thresholds. Progress was less evident in research and development (R&D) expenditure, where the average value of the EU remained below the 3% GDP target, and strong disparities persisted between innovation leaders and weaker performers. Improvements in higher education attainment were observed, contributing to the long-term goal of a knowledge-based economy, although labour market difficulties, especially among young people, remained unresolved. The findings suggest that, although the Strategy contributed to tangible progress in several areas, uneven achievements among member states limited its overall effectiveness. The study is limited by the reliance on aggregate statistical data and a single methodological approach. Future research should extend the analysis to longer time horizons, include qualitative assessments of national policies, and address implications for the implementation of the European Green Deal and subsequent EU development strategies. Full article

The European e-Competence Framework (e-CF) and the European Skills, Competences, Qualifications and Occupations (ESCO) classification are two key initiatives developed by the European Commission to support skills transparency, mobility, and interoperability across labour and education systems. While e-CF defines essential competences for ICT professionals through a structured framework, it provides only a limited number of illustrative skills and knowledge examples for each competence. In contrast, ESCO offers a rich, multilingual taxonomy of skills and knowledge, each accompanied by a detailed description, alternative labels, and links to relevant occupations. This paper explores the possibility of enriching the e-CF framework by linking it to relevant ESCO ICT skills using text embedding (MPNet) and cosine similarity. This approach allows the extension to 15–25 semantically aligned skills and knowledge items per competence in e-CF, all with full description and officially translated into all EU languages, instead of the present amount of 4–10 brief examples. This significantly improves the clarity, usability, and interpretability of e-CF competences for the various stakeholders. Furthermore, since ESCO terminology serves as the foundation for labour market analysis across the EU, establishing this linkage provides a valuable bridge between the e-CF competence model and real-time labour market intelligence, a connection not available now. The results of this study offer practical insights into the application of semantic technologies to the enhancement and mutual alignment of European ICT skills frameworks. Full article

Amid growing concern about labour market resilience in an era of digital and green transitions, this study carries out an investigation on how academic innovation and industrial transformation jointly shape sustainable employment outcomes across EU-27 member states. We frame this inquiry within the emerging concept of the “employment trilemma”, which posits inherent tension between competitiveness, innovation, and social inclusiveness in modern economies. Drawing on a dynamic panel dataset (2005–2023) and employing System SMM estimations, we test the hypothesis that the alignment of academic innovation systems and industrial transformation strategies enhances long-term employment sustainability. Our results reveal a nuanced relationship: academic innovation significantly supports employment in countries with high knowledge absorption capacity, whereas industrial transformation contributes positively only when embedded in cohesive, inclusive economic frameworks. Thus, these findings provide valuable insights for international business due to their emphasis on the importance of cross-sectoral collaboration, policy synchronisation, and investment in human capital for firms navigating increasingly volatile labour markets. Likewise, the study offers actionable insights for business leaders, policymakers, and universities striving to balance innovation with equitable labour market outcomes in an integrated European economy. Full article

Following the 2008–2009 economic crisis, the issue of self-employed individuals’ access to social protection has gained increasing prominence at both supranational and national levels, often in relation to the rise of ‘bogus’ or economically dependent self-employment and its broader implications. More recently, the COVID-19 pandemic further exposed persistent gaps in the social protection of the self-employed, contributing to their comparatively more precarious position vis-à-vis wage earners. Against this backdrop, and drawing on a literature review alongside findings from a series of semi-structured interviews, this article uses Greece—a country where self-employment constitutes a structural feature of a highly fragmented labour market, and which records the highest self-employment rate in the EU-27 (and among the highest in the OECD)—as a case study to examine self-employment and access to social protection. This article contributes to the growing literature on the social protection of non-standard workers in a context marked by ongoing transformations in employment relations and the world of work. It illustrates, inter alia, the relative weakness of trade union representation for the self-employed, and how limited trust in state institutions among this group shapes their perceptions of social protection, thereby undermining the system’s sustainability. Full article

Educational achievement plays a significant role in the labour market, benefiting individuals and society. Graduating from high school is a key step towards better employment opportunities and a prerequisite for higher education attainment. In 2023, only 22.5% of the Romanian population graduated tertiary education, while 16.6% left education or training early. The Romanian public high school network comprises 1558 units, mostly located in urban areas. The high school enrolment rate is 83.5% in urban areas, and it drops to less than 60% in rural areas, with the country registering the highest out-of-school rate in the EU for the 15-year-old population. Spatial accessibility may influence enrolment in high schools, particularly for students living in rural or remote areas, who often face financial challenges fuelled by long distances and limited transportation options. Hence, travel distance may represent a potential barrier to completing the educational process or may determine inequalities in educational opportunities and outcomes. This paper aims to assess the spatial accessibility of the public high school network in Romania by using distance data provided by the Open Street Map API (Application Programming Interface). We examine variations in spatial accessibility based on the distribution of high school units and road network characteristics considering three variables: travel distance to the nearest high school, the average distance to three different categories of high schools, and the number of high schools located within a 20 km buffer zone. The results highlight a significant urban–rural divide in the availability of public high school facilities, with 84.1% (n = 1311) located in urban areas while 49.1% of the high school-aged population lives in rural areas. Many rural communities lack adequate educational facilities, often having limited options for high school education. The findings also show that 32% of the high school-aged population has to travel more than 10 km to the nearest high school, and 7% has no high school options within a 20 km buffer zone. This study provides insights into the educational landscape in Romania, pointing out areas with limited access to high schools, which contributes to further inequalities in educational attainment. The findings may serve as a basis for developing policies and practices to bridge the urban–rural divide in educational opportunities and foster a more equitable and inclusive education system. Full article