British Government Commissions Research on Developing Countries with German-based Institute / IZA in Bonn to Uncover Employment Opportunities in Low Income Countries / Long-Term Cooperation Concluded

Bonn (ots) - The Institute for the Study of Labor (Institut zur
Zukunft der Arbeit, IZA), based in Bonn, has recently received a
major commission from the British Government. Over the next five
years IZA is to manage research funding in the amount of 10.6 million
pounds for the UK Department for International Development (DFID) for
research projects on growth and labor markets aimed at improving the
living conditions of people in countries with particularly low income
levels. Among other topics, focus will be on which strategies are
especially helpful for economic growth and job creation under the
specific conditions found in the countries under study.

To date there have been hardly any empirically data or studies on
the poorest regions of the world upon which policy recommendations
can be based. Hence, the efficacy of policies to promote employment
and stable economic structures in these countries has so far been
very limited.

That is why IZA and the DFID will support up to 30 different
research projects in the coming five years. The main objectives are:

- promote research on growth and labor markets in low-income
countries - help policy-makers to translate these findings in policy
concepts that improve living conditions in the target regions -
improve the transfer of knowledge between North and South, e.g.
through research cooperation and the training of scientists from
these countries.

Research in the fields of labor market policy, education and
gender will be of particular focus.

The program aims to enable the countries to independently boost
their growth in economic capacity. The program will be financed by
the DIFD, which has been working at improving living conditions in
those particularly affected regions of the world since 1997. IZA will
be responsible for the coordination and, in cooperation with
independent, international experts, for the selection of the
individual research projects.

Klaus F. Zimmermann, Director of IZA: "Both partners have agreed
upon long-term cooperation, as international economics has conducted
little research on these countries because of the specific
environment and difficulties-countries in which much of the
population survives on a dollar a day. However, research findings on
labor markets of more developed countries or industrial nations do
not apply here. We believe it important to involve the local
decision-makers early on in future labor market strategies.
Similarly, the individual research projects should be conducted as
much as possible with suitable institutions in the countries in
question".

The Institute for the Study of Labor (IZA) is the world's largest
research network in economics. It cooperates with more than a
thousand scientists, including Nobel laureates and top government
advisers, such as Alan Krueger, who was recently chosen as chairman
of the Council of Economic Advisers to US President Barack Obama.

For further information please contact:
Dr. Marco Caliendo
IZA Director of Research
Email: caliendo@iza.org
Tel. +49 (0)228-3894 512