Labour market institutions and the cyclical dynamics of employment
AbstractWe present an empirical analysis of the effects of labour market institutions on the employment dynamics over the cycle. In the first part of the paper a theoretical framework is provided with particular emphasis on working time regulations. The conclusions of the theory are tested in the second part on a sample of 20 OECD countries observed over the period 1975-1997. The empirical analysis is focused one expansions, contractions and different expansion segments. The claims of the theory are confirmed and a measure of the influence of labour market institutions on the employment responsiveness to the business cycle is provided through simulations.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Labour Economics.
Volume (Year): 10 (2003)
Issue (Month): 1 (February)
Contact details of provider:
Web page: http://www.elsevier.com/locate/labeco
Other versions of this item:
- Luca Nunziata, 2001. "Labour Market Institutions and the Cyclical Dynamics of Employment," Economics Series Working Papers 1999-W26, University of Oxford, Department of Economics.
- J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
- J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Stephen Nickell & Luca Nunziata, 2000.
"Employment patterns in OECD countries,"
LSE Research Online Documents on Economics
20198, London School of Economics and Political Science, LSE Library.
- Luca Nunziata & Stefano Staffolani, 2001.
"On Short-Term Contracts Regulations,"
2001-W7, Economics Group, Nuffield College, University of Oxford.
- Luca NUNZIATA & Stefano STAFFOLANI, 2001. "On Short-term Contracts Regulations," Working Papers 150, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
- Luca Nunziata & Stefano Staffolani, 2001. "On Short-Term Contracts Regulations," Economics Series Working Papers 2001-W07, University of Oxford, Department of Economics.
- Pietro Garibaldi & Paolo Mauro, 1999. "Deconstructing Job Creation," IMF Working Papers 99/109, International Monetary Fund.
- Lazear, Edward P, 1990. "Job Security Provisions and Employment," The Quarterly Journal of Economics, MIT Press, vol. 105(3), pages 699-726, August.
- J. A. Hausman, 1976.
"Specification Tests in Econometrics,"
185, Massachusetts Institute of Technology (MIT), Department of Economics.
- Nickell, Stephen & Nicolitsas, Daphne & Patterson, Malcolm, 2001.
" Does Doing Badly Encourage Management Innovation?,"
Oxford Bulletin of Economics and Statistics,
Department of Economics, University of Oxford, vol. 63(1), pages 5-28, February.
- Calmfors, Lars & Hoel, Michael, 1989. "Work Sharing, Employment and Shiftwork," Oxford Economic Papers, Oxford University Press, vol. 41(4), pages 758-73, October.
- Stephen Nickell, 1997. "Unemployment and Labor Market Rigidities: Europe versus North America," Journal of Economic Perspectives, American Economic Association, vol. 11(3), pages 55-74, Summer.
- King, R.G. & Rebelo, S.T., 1989.
"Low Frequency Filtering And Real Business Cycles,"
RCER Working Papers
205, University of Rochester - Center for Economic Research (RCER).
- Michèle Belot & Jan C. van Ours, 2004.
"Does the recent success of some OECD countries in lowering their unemployment rates lie in the clever design of their labor market reforms?,"
Oxford Economic Papers,
Oxford University Press, vol. 56(4), pages 621-642, October.
- Belot, Michèle & van Ours, Jan C, 2000. "Does the Recent Success of some OECD Countries in Lowering their Unemployment Rates lie in the Clever Design of their Labour Market Reforms?," CEPR Discussion Papers 2492, C.E.P.R. Discussion Papers.
- Belot, Michèle & van Ours, Jan C., 2000. "Does the Recent Success of Some OECD Countries in Lowering their Unemployment Rates Lie in the Clever Design of their Labour Market Reform?," IZA Discussion Papers 147, Institute for the Study of Labor (IZA).
- Belot, M.V.K. & Ours, J.C. van, 2000. "Does the Recent Success of some OECD Countries in Lowering their Unemployment Rates lie in the Clever Design of their Labour Market Reforms?," Discussion Paper 2000-40, Tilburg University, Center for Economic Research.
- P Garibaldi, 1995.
"Job Flow Dynamics and Firing Restrictions,"
CEP Discussion Papers
dp0256, Centre for Economic Performance, LSE.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 2005.
"Unemployment: Macroeconomic Performance and the Labour Market,"
Oxford University Press, number 9780199279173, September.
- Layard, Richard & Nickell, Stephen & Jackman, Richard, 1991. "Unemployment: Macroeconomic Performance and the Labour Market," OUP Catalogue, Oxford University Press, number 9780198284345, September.
- Blanchard, Olivier & Wolfers, Justin, 2000.
"The Role of Shocks and Institutions in the Rise of European Unemployment: The Aggregate Evidence,"
Royal Economic Society, vol. 110(462), pages C1-33, March.
- Olivier Blanchard & Justin Wolfers, 1999. "The Role of Shocks and Institutions in the Rise of European Unemployment: The Aggregate Evidence," NBER Working Papers 7282, National Bureau of Economic Research, Inc.
- Robert J. Hodrick & Edward Prescott, 1981.
"Post-War U.S. Business Cycles: An Empirical Investigation,"
451, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Hodrick, Robert J & Prescott, Edward C, 1997. "Postwar U.S. Business Cycles: An Empirical Investigation," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 29(1), pages 1-16, February.
- Bentolila, Samuel & Bertola, Giuseppe, 1990. "Firing Costs and Labour Demand: How Bad Is Eurosclerosis?," Review of Economic Studies, Wiley Blackwell, vol. 57(3), pages 381-402, July.
- Bertola, Giuseppe, 1999. "Microeconomic perspectives on aggregate labor markets," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 45, pages 2985-3028 Elsevier.
- Nickell, S J, 1978. "Fixed Costs, Employment and Labour Demand over the Cycle," Economica, London School of Economics and Political Science, vol. 45(180), pages 329-45, November.
- Harvey, A C & Jaeger, A, 1993. "Detrending, Stylized Facts and the Business Cycle," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 8(3), pages 231-47, July-Sept.
- Etienne Wasmer, 2009.
"Links between labor supply and unemployment: theory and empirics,"
Journal of Population Economics,
Springer, vol. 22(3), pages 773-802, July.
- Etienne Wasmer, 2006. "Links between Labor Supply and Unemployment: Theory and Empirics," Sciences Po publications 06-15, Sciences Po.
- Étienne Wasmer, 2006. "Links between Labor Supply and Unemployment: Theory and Empirics," Cahiers de recherche 0615, CIRPEE.
- Fabio Rumler & Johann Scharler, 2011.
"Labor Market Institutions And Macroeconomic Volatility In A Panel Of Oecd Countries,"
Scottish Journal of Political Economy,
Scottish Economic Society, vol. 58(3), pages 396-413, 07.
- Rumler, Fabio & Scharler, Johann, 2009. "Labor market institutions and macroeconomic volatility in a panel of OECD countries," Working Paper Series 1005, European Central Bank.
- Noé N'Semi & Aurélien Gaimon & Maël Theulière & Vincent Lapegue & Frédéric Reynès & Paola Veroni, 2007.
"Does the interaction between shocks and institutions solve the OECD unemployment puzzle ? A theoretical and empirical appraisal,"
Sciences Po publications
2007-34, Sciences Po.
- Aurélien GAIMON & Vincent LAPEGUE & Paola MONPERRUS-VERONI & Noé N’SEMI & Frédéric REYNÈS & Maël THEULIERE, 2007. "Does the interaction between shocks and institutions solve the OECD unemployment puzzle? a Theoretical and Empirical Appraisal," Documents de Travail de l'OFCE 2007-34, Observatoire Francais des Conjonctures Economiques (OFCE).
- Michael Lechner & Rosalia Vazquez-Alvarez, 2007.
"Stochastic labour market shocks, labour market programmes, and human capital formation: a theoretical and empirical analysis,"
University of St. Gallen Department of Economics working paper series 2007
2007-27, Department of Economics, University of St. Gallen.
- Michael Lechner & Rosalia Vazquez-Alvarez, 2007. "Stochastic labour market shocks, labour market programmes, and human capital formation: a theoretical and empirical analysis," Working Papers 0701, International Economics Institute, University of Valencia.
- repec:spo:wpecon:info:hdl:2441/6120 is not listed on IDEAS
- repec:spo:wpecon:info:hdl:2441/9726 is not listed on IDEAS
- Cristiano Perugini & Marcello Signorelli, 2007. "Labour Market Performance Differentials and Dynamics in EU-15 Countries and Regions," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 4(2), pages 209-262, September.
- Piccirilli, Giulio, 2009. "Contingent worksharing," Research in Economics, Elsevier, vol. 63(2), pages 135-143, June.
- Frédéric Reynès & Paola Veroni & Aurélien Gaimon & Vincent Lapegue & Noé N'Semi & Maël Theulière, 2008. "Does the interaction between shocks and institutions solve the OECD shocks and institutions solve the OECD Unemployment Puzzle ? A Theoritical and Empirical Appraisal," Sciences Po publications info:hdl:2441/9726, Sciences Po.
- repec:spo:wpecon:info:hdl:2441/8903 is not listed on IDEAS
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.