Financial support to permanent jobs. The Italian case
AbstractIn the past decade fixed-term contracts have been widely used to ease the regulatory burden in several European labour markets. Since there is some concern that they might be a dead-end for many workers, policy makers have intervened to increase transitions from fixedterm to open-end contracts. The effects of these interventions have not yet been thoroughly studied. This paper is a contribution to fill this gap. We look at a recent Italian policy designed to foster hiring with open-end rather than with fixed-term contracts. Our results seem to indicate that most of the financial support was wasted because of the large dead-weight loss associated with the program. There exists some weak evidence that better educated workers benefited from the introduction of the tax credit, especially in the South.
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Bibliographic InfoArticle provided by Società editrice il Mulino in its journal Politica economica.
Volume (Year): (2006)
Issue (Month): 1 ()
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- Tattara, Giuseppe & Valentini, Marco, 2009.
"Can employment subsidies and greater labour market flexibility increase job opportunities for youth? : revisiting the Italian on-the-job training programme,"
Zeitschrift fÃ¼r ArbeitsmarktForschung - Journal for Labour Market Research,
Institut fÃ¼r Arbeitsmarkt- und Berufsforschung (IAB), NÃ¼rnberg [Institute for Employment Research, Nuremberg, Germany], vol. 42(3), pages 197-212.
- Tattara, Giuseppe & Valentini, Marco, 2008. "Can employment subsidies and greater labour market flexibility increase job opportunities for youth? Revisiting the Italian On-the-job Training Program," MPRA Paper 10370, University Library of Munich, Germany.
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