Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/34091
Authors: 
Cappellari, Lorenzo
Leonardi, Marco
Year of Publication: 
2006
Series/Report no.: 
IZA Discussion Papers 2527
Abstract: 
This paper develops a tractable empirical approach to estimate the effect of on-the-job tenure on the permanent and the transitory variance of earnings. The model is also used to evaluate earnings instability associated with fixed-term contracts (short-tenure contracts) in Italy. Our results indicate that each year of tenure on the job reduces earnings instability on average by 15%. Workers on a fixed-term contract on average have an earnings instability 10% higher than workers on a permanent contract. Workers who spend their entire working life on fixed-term contracts can expect an earnings instability twice as high.
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size
237.22 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.