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On Short-term Contracts Regulations

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  • Luca NUNZIATA

    ([n.a.])

  • Stefano STAFFOLANI

    ()
    (Universit… Politecnica delle Marche, Dipartimento di Economia)

Abstract

[ENGLISH] We present a theoretical as well as an empirical analysis of the impact of employment regulations on permanent and temporary employment. We consider three different forms of regulations, namely insiders protection, fixed term contracts regulations, and temporary work agencies legislation and present some empirical evidence for total, female and young employees based on a panel of nine European countries. We show that these three forms of regulations have a differentiated impact on the employment performance of those countries. Besides, these institutions act in an asymmetric way along the business cycle. Among the various findings: lower employment protection leads to a substitution of permanent employees in favour of temporary ones with an unsignificant net effect on the total; looser fixed term contracts regulations have a beneficial effect on young temporary as well as permanent employment; flexible temporary work agencies regulations have a positive impact on temporary employment, while possibly reducing permanent employment. [ITALIANO] In questo contributo analizziamo gli effetti della employment regulation sull'occupazione, sia da un punto di vista teorico che empirico, distinguendo tra lavoratori temporanei e permanenti. Tra le forme di regolamentazione nel mercato del lavoro consideriamo la normativa sui licenziamenti, sui contratti a termine e sulle agenzie di lavoro interinale. L'evidenza empirica, relativa ad un panel di 9 paesi europei, esamina gli effetti di queste istituzioni sull'occupazione totale, giovanile e femminile, distinguendo tra le diverse fasi del ciclo economico. Tra i principali risultati otteniamo che la flessibilita' nei licenziamenti porta a sostituzione di occupazione permanente con occupazione temporanea, con effetti non significativi sul totale; la liberalizzazione dei contratti a termine ha effetti positivi sull'occupazione giovanile, sia temporanea che permanente; la liberalizzazione delle agenzie di lavoro temporaneo ha effetti positivi sull'occupazione temporanea ma riduce l'occupazione permanente.

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Bibliographic Info

Paper provided by Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali in its series Working Papers with number 150.

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Length: 50
Date of creation: May 2001
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Handle: RePEc:anc:wpaper:150

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  1. Blanchard, Olivier & Wolfers, Justin, 2000. "The Role of Shocks and Institutions in the Rise of European Unemployment: The Aggregate Evidence," Economic Journal, Royal Economic Society, vol. 110(462), pages C1-33, March.
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  5. repec:ese:iserwp:2000-13 is not listed on IDEAS
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  8. P Adam & P Canziani, 1998. "Partial De-Regulation: Fixed-Term Contracts in Italy and Spain," CEP Discussion Papers dp0386, Centre for Economic Performance, LSE.
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  14. Saint-Paul, Gilles, 1999. "Assessing the Political Viability of Labour Market Reform: The Case of Employment Protection," CEPR Discussion Papers 2136, C.E.P.R. Discussion Papers.
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  18. Marcelo Veracierto, 2000. "What are the short-run effects of increasing labor market flexibility?," Working Paper Series WP-00-29, Federal Reserve Bank of Chicago.
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Citations

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Cited by:
  1. Nicola MATTEUCCI & Alessandro STERLACCHINI, 2003. "ICT and Employment Growth in Italian Industries," Working Papers 193, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  2. Luca Nunziata, 2001. "Labour Market Institutions and the Cyclical Dynamics of Employment," Economics Series Working Papers 1999-W26, University of Oxford, Department of Economics.
  3. Marcello MESSORI & Alberto ZAZZARO, 2004. "Monetary profits within the circuit: Ponzi finance oer "mors tua, vita mea"?," Working Papers 200, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  4. Elvio MATTIOLI, 2003. "The measurement of coherence in the evaluation of criteria and its effects or ranking problems illustrated using a multicriteria decision method," Working Papers 199, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  5. Tealdi, Cristina, 2011. "Typical and atypical employment contracts: the case of Italy," MPRA Paper 39456, University Library of Munich, Germany.
  6. Roberto ESPOSTI & Pierpaolo PIERANI, 2005. "Price, Private Demand and Optimal Provision of Public R&D in Italian Agriculture," Working Papers 238, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  7. Picchio, M., 2006. "Wage differentials between temporary and permanent workers in Italy," Open Access publications from Tilburg University urn:nbn:nl:ui:12-5573982, Tilburg University.
  8. Ugo Fratesi, 2003. "Innovation Diffusion and the Evolution of Regional Disparities," ERSA conference papers ersa03p327, European Regional Science Association.
  9. Luca Nunziata, 2002. "Unemployment, Labour Market Institutions and Shocks," Economics Series Working Papers 2002-W16, University of Oxford, Department of Economics.
  10. Renato BALDUCCI, 2005. "Public Expenditure and Economic Growth. A critical extension of Barro's (1990) model," Working Papers 240, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  11. Emanuela Ghignoni, 2006. "Human capital, unemployment, and probability of transition to permanent employment in the Italian regional labour markets," Working Papers 93, University of Rome La Sapienza, Department of Public Economics.
  12. Stefania BUSSOLETTI & Roberto ESPOSTI, 2004. "Regional Convergence, Structural Funds and the Role of Agricolture in the EU. A Panel-Data Approach," Working Papers 220, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.

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