Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/26219 
Year of Publication: 
2007
Series/Report no.: 
CESifo Working Paper No. 2175
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
This paper deals with the effects of labour market institutions on labour market performance. We analyse as an indicator for the labour intensity of output growth the employment threshold (the minimum growth rate of output necessary to keep employment constant). We show for a sample of 17 OECD countries for the period 1971 to 2002 that the strictness of employment protection raises the employment threshold in all econometric specifications. A higher wage bargaining coordination and a higher tax wedge reduce also the labour intensity of production, although the effects are not significant in all econometric specifications.
Subjects: 
employment protection
labour market institutions
labour demand
international comparison
employment threshold
JEL: 
J23
E24
J50
Document Type: 
Working Paper
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