Finally, as discussed by Nickell and Bell (1995), another possible reason for the
increase in unemployment in Europe is the decrease in relative demand for unskilled workers.
They note that both the demand and supply of unskilled workers has been falling across
OECD countries for many years. They state that evidence shows that the decrease in demand
is due to technological change and to an increase in competition from workers from Third
World nations. Supply has decreased because more people in OECD nations reach higher11
levels of education.