The fiscal consolidation programs, although necessary in the long term, are making the jobless problem worse, writes Pissarides

The recession in Europe is entering its fifth year and unemployment doesn’t look like it will be returning to normal levels anytime soon.

In the countries with debt problems, especially Greece and Spain, unemployment skyrocketed in the last couple of years and is now at unprecedented levels. One in two young workers is out of a job.

Are we losing a whole new generation of young workers? Are we wasting hard-earned skills?