When an individual is out of work, his or her skills tend to deteriorate, making reintegration into the labour market more difficult. The longer the period of unemployment, the more difficult it can be for the individual. For the economy as a whole, this can translate into higher structural unemployment.
U.S. Basel II and Basel IA proposals I would now like to turn to the Basel II proposal and the proposed set of revisions to the Basel I framework in the United States – the so-called Basel IA proposal – which I will also discuss very briefly. A fundamental part of the implementation process involves consideration of the comments on the Basel proposal.