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Title:The effect of product market competition on job instability PDF Logo
Authors:Aparicio Fenoll, Ainhoa
Issue Date:2011
Series/Report no.:Discussion paper series // Forschungsinstitut zur Zukunft der Arbeit 5669
Abstract:This paper assesses the impact of product market competition on job instability as proxied by the use of fixed-term labor contracts. Using both worker data from the Spanish Labor Force Survey and firm data from the Spanish Business Strategies Survey, I show that job instability rises with competition. In particular, a one standard deviation increase in competition in an economic sector decreases the probability that a fixed-term worker gets an open-ended contract within that sector in a given year by more than 30%. The effect is identified by means of exogenous shifts in competition brought about by changes in legislation.
Subjects:product market competition
fixed-term employment
labor contract
JEL:J24
M51
C41
C33
C35
J6
L1
Persistent Identifier of the first edition:urn:nbn:de:101:1-201105173047
Document Type:Working Paper
Appears in Collections:IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)

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