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The Timing of the School-to-Permanent Work Transition: a Comparison across Ten European Countries

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  • Alessandra Righi
  • Dario Sciulli

Abstract

The school-to-work transition is a turbulent period of youth, with possible consequences on the social and working conditions of individuals. The alternative status of employment during the transition possibly affect the transition probabilities. On the one side, the larger use of temporary contracts has made entry in the labour market easier, but has also made longer and, sometimes, harder the path toward a stable job. On the other side, periods of no work possibly deteriorate skills, while vocational experiences possibly avoid the obsolescence of skills. This paper applies discrete time duration models to ECHP micro information to investigate both the role of individual characteristics and, overall, of alternative origin labour market status in favoring the school-to-permanent work transition, focusing on ten European countries. The timing of the transition and the allocation of time to alternative labour market status differ among countries. Vocational training experience increases the hazard rate. Temporary contracts positively operate in Southern countries, where unemployment and inactivity prevail among school-leavers. On the contrary, where temporary jobs are widely used they reduce the hazard rate, favoring the establishment of a strong separating equilibrium, at least in the short-term. However, individuals with at least one temporary job or vocational training period show a greater duration dependence parameter, indicating their role in reducing the stigma effect of no permanent employment positions.

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Bibliographic Info

Paper provided by Università di Perugia, Dipartimento Economia, Finanza e Statistica in its series Quaderni del Dipartimento di Economia, Finanza e Statistica with number 65/2009.

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Length: 35 pages
Date of creation: 01 Jun 2009
Date of revision:
Handle: RePEc:pia:wpaper:65/2009

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Keywords: school-to-work transition; duration model; unobserved heterogeneity;

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Cited by:
  1. Dario Sciulli & Marcello Signorelli, 2010. "University-to-work transitions: the case of Perugia," Quaderni del Dipartimento di Economia, Finanza e Statistica 77/2010, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  2. Mirella Damiani, 2010. "Labour regulation, corporate governance and varieties of capitalism," Quaderni del Dipartimento di Economia, Finanza e Statistica 76/2010, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  3. Davide Castellani & Fabio Pieri, 2011. "Foreign Investments and Productivity Evidence from European Regions," Quaderni del Dipartimento di Economia, Finanza e Statistica 83/2011, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  4. Francesco Venturini, 2011. "Product variety, product quality, and evidence of Schumpeterian endogenous growth: a note," Quaderni del Dipartimento di Economia, Finanza e Statistica 93/2011, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  5. Olga Demidova & Marcello Signorelli, 2010. "The Impact of Crises on Youth Unemployment of Russian Regions: An Empirical Analysis," Quaderni del Dipartimento di Economia, Finanza e Statistica 78/2010, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  6. Silvia Micheli, 2010. "Learning Curve and Wind Power," Quaderni del Dipartimento di Economia, Finanza e Statistica 81/2010, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  7. Stefano Herzel & Marco Nicolosi & Catalin Starica, 2011. "The cost of sustainability on optimal portfolio choices," Quaderni del Dipartimento di Economia, Finanza e Statistica 84/2011, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  8. Bruno, Giovanni S. F. & Caroleo, Floro Ernesto & Dessy, Orietta, 2012. "Stepping Stones versus Dead End Jobs: Exits from Temporary Contracts in Italy after the 2003 Reform," IZA Discussion Papers 6746, Institute for the Study of Labor (IZA).
  9. Mirella Damiani & Fabrizio Pompei & Andrea Ricci, 2011. "Temporary job protection and productivity growth in EU economies," Quaderni del Dipartimento di Economia, Finanza e Statistica 87/2011, Università di Perugia, Dipartimento Economia, Finanza e Statistica.

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