The institutional design of the Spanish labour market has been subjected, during the last three decades, to permanent pressure fuelled by two beliefs. On the one hand, by the assumption that a higher degree of flexibility would help to reduce unemployment; on the other, by the assumption that such increased flexibility would also help to reduce inflation rates and, consequently, the inflation gap between Spain and the rest of the European countries. The recent history of the Spanish labour market is, therefore, the history of the reforms implemented to increase the flexibility in such a market. The aim of this paper is, firstly, to describe the main features of these reforms, showing the measures implemented in order to increase the flexibility in the labour market and, secondly, to show the degree of flexibility reached in the labour market. Finally, we will briefly analyse the macroeconomic consequences of these reforms.
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Volume (Year): 15 (2001) Issue (Month): 1 (January) Pages: 31-53 Download reference. The following formats are available: HTML
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