Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/77417 
Year of Publication: 
2009
Series/Report no.: 
HEID Working Paper No. 07/2009
Publisher: 
Graduate Institute of International and Development Studies, Geneva
Abstract: 
The present study aims to contribute to the debate concerning the effects on economic performance and the structure of the labor market of regulations that combine high Employment Protection Legislations (EPL) with consent for the use of fixed-term contracts (FTC). Using a Rajan and Zingales (1998) difference-in-difference empirical technique in a panel of 45 countries, we explore the response of industries that differ in their intrinsic need of worker turnover when they face different levels of EPL and how the possibility of using FTC might change the outcome. Our approach suggests an original demand side explanation of the claiming of FTC.
Subjects: 
employment protection legislation
labor turnover
fixed-term contracts
JEL: 
J21
J33
J63
Document Type: 
Working Paper

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