Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/158793
Authors: 
Lisi, Domenico
Year of Publication: 
2013
Citation: 
[Journal:] Journal for Labour Market Research [ISSN:] 2510-5027 [Volume:] 46 [Year:] 2013 [Issue:] 2 [Pages:] 119-144
Abstract: 
In recent years the availability of new industry-level data allowed to evaluate the impact of labour market policies more consistently than previous standard cross-country studies. In this paper an industry-level panel is exploited to evaluate the impact of Employment Protection Legislation (EPL) for temporary employment (TE), along with permanent employment (PE), in EU countries. Indeed, the advantage of using industry-level data is manifold. The method exploits both cross-country variation in EPL for PE and TE and variation in the relevance of EPL in different industries deriving from a particular diff-in-diff assumption. Differently from the previous literature we apply this idea of the different binding of EPL only for PE, whereas we implement a different strategy for TE which should imply a more accurate identification of the effect of the use of TE on labour productivity. The theoretical literature has not established a clear prediction on the sign of the effects, existing different convincing reasons for both directions. Thus, the results of the analysis have potentially important policy implications. Our main finding is that the use of temporary contracts has a negative, even if small in magnitude, effect on labour productivity. Furthermore, the analysis confirms that EPL for regular contracts reduce labour productivity growth more in those industries requiring a greater employment reallocation.
Subjects: 
Kündigungsschutz
befristeter Arbeitsvertrag
Produktivitätseffekte - internationaler Vergleich
unbefristeter Arbeitsvertrag
Arbeitsproduktivität
Regulierung
Europäische Union
Österreich
Belgien
Dänemark
Finnland
Frankreich
Bundesrepublik Deutschland
Irland
Italien
Niederlande
Portugal
Spanien
Schweden
Großbritannien
JEL: 
J08
J24
O47
Persistent Identifier of the first edition: 
Document Type: 
Article

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