Measuring the Effectiveness of Policies on Employment from 2008-2024 in Spain Using a New Methodology

This study evaluates the effectiveness of employment policies implemented in Spain from 2008 to 2024, utilizing an innovative methodology adapted from Adekanbi (2024). Spain's labor market faced significant challenges, including high unemployment, labor market segmentation, and skill mismatches, particularly during and after the 2008 financial crisis. The research employs econometric modeling to analyze the relationship between unemployment rates, labor force participation, and Gross National Income (GNI) per capita over various policy periods identified through structural change detection. Key findings reveal the impact of major reforms, including the 2012 labor market restructuring, youth employment initiatives, and digital and green economy training programs. Results indicate varying effectiveness across policy periods, with unemployment and labor force participation significantly influencing GNI per capita. Recommendations emphasize prioritizing industrial sector revitalization, aligning policies with technological advancements, and diversifying the economy to address persistent unemployment and labor shortages. This comprehensive analysis underscores the need for balanced economic strategies to foster resilience and long-term growth in Spain's labor market.