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Rigidita nel mercato del lavoro, disoccupazione e crescita

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  • Fabiano Schivardi

    ()
    (Bank of Italy)

Abstract

This paper offers a critical survey of the literature on labor market rigidities, developing a simple and unifying analytical framework. The main conclusion that emerges is that firing restrictions do not seem to exert strong direct effects on the unemployment level, while they are important for determining its dynamics, the duration of the unemployment spells and the overall efficiency of the economy. These indirect effects might play a prominent role for the unemployment level and for the general performance of the economy. In addition to considering indirect effects, we extend the concept of flexibility beyond the notion of firing restrictions. In particular, we illustrate the role of firing restrictions in determining the evolution of wages and the composition of the unemployment pool; the effects of a common wage for regions with different productivity levels and an immobile labor force; the influence on capital accumulation and growth of the inefficient labor allocation induced by firing restriction. These aspects might be more important to understand the performance of the European labor markets over the last thirty years than firing restrictions themselves.

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Bibliographic Info

Article provided by GDE (Giornale degli Economisti e Annali di Economia), Bocconi University in its journal Giornale degli Economisti e Annali di Economia.

Volume (Year): 59 (2000)
Issue (Month): 1 (April)
Pages: 117-143

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Handle: RePEc:gde:journl:gde_v59_n1_p117-143

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Related research

Keywords: unemployment; labor market rigidities; firing costs;

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Cited by:
  1. Fabiano Schivardi & Roberto Torrini, 2003. "Firm Size Distribution and EPL in Italy," William Davidson Institute Working Papers Series 2003-613, William Davidson Institute at the University of Michigan.
  2. Fabiano Schivardi & Roberto Torrini, 2004. "Threshold effects and firm size: the case of firing costs," LSE Research Online Documents on Economics 19956, London School of Economics and Political Science, LSE Library.
  3. Fabiano Schivardi & Roberto Torrini, 2004. "Firm size distribution and employment protection legislation in Italy," Temi di discussione (Economic working papers) 504, Bank of Italy, Economic Research and International Relations Area.

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