Fixed-term contracts and the duration distribution of unemployment
Abstract
In the mid-1980s, many European countries introduced fixed-term contracts. Since then their labor markets have become more dynamic. This paper studies the implications of such reforms for the duration distribution of unemployment, with particular emphasis on the changes in the duration dependence. I estimate a parametric duration model using cross-sectional data drawn from the Spanish Labor Force Survey from 1980 to 1994 to analyze the chances of leaving unemployment before and after the introduction of fixed-term contracts. I find that duration dependence has increased since such reform. Semi-parametric estimation of the model also shows that for long spells, the probability of leaving unemployment has decreased since such reform.Download Info
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Paper provided by Department of Economics and Business, Universitat Pompeu Fabra in its series Economics Working Papers with number 602.Length:
Date of creation: Feb 2002
Date of revision: May 2003
Handle: RePEc:upf:upfgen:602
Contact details of provider:
Web page: http://www.econ.upf.edu/
Related research
Keywords: Cross-sectional data; duration model; turnover;Other versions of this item:
- Güell, Maia, 2002. "Fixed-Term Contracts and the Duration Distribution of Unemployment," CEPR Discussion Papers 3264, C.E.P.R. Discussion Papers.
- Maia Güell, 2003. "Fixed-term Contracts and the Duration Distribution of Unemployment," Working Papers 105, Barcelona Graduate School of Economics.
- Güell, Maia, 2003. "Fixed-Term Contracts and the Duration Distribution of Unemployment," IZA Discussion Papers 791, Institute for the Study of Labor (IZA).
- Maia Güell, 2001. "Fixed-Term Contracts and the Duration Distribution of Unemployment," CEP Discussion Papers dp0505, Centre for Economic Performance, LSE.
- C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
- J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs
- J64 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Unemployment: Models, Duration, Incidence, and Job Search
This paper has been announced in the following NEP Reports:
- NEP-ALL-2002-03-14 (All new papers)
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Güell, Maia & Hu, Luojia, 2003.
"Estimating the Probability of Leaving Unemployment Using Uncompleted Spells from Repeated Cross-Section Data,"
CEPR Discussion Papers
3957, C.E.P.R. Discussion Papers.
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- Maia Güell & Luojia Hu, 2003. "Estimating the Probability of Leaving Unemployment using Uncompleted Spells from Repeated Cross-Section Data," Working Papers 41, Barcelona Graduate School of Economics.
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- Dario Sciulli, 2006.
"Making the Italian Labor Market More Flexible: An Evaluation of the Treu Reform,"
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