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Product market regulation and macroeconomic performance : a review of cross-country evidence

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Schiantarelli, Fabio

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Abstract

The main purpose of this paper is to provide a critical overview of the recent empirical contributions that use cross-country data to study the effects of product market regulation and reform on a country's macroeconomic performance. After a brief review of the theoretical literature and of relevant micro-econometric evidence, the paper discusses the main data and methodological issues related to empirical work on this topic. It then critically evaluates the cross-country evidence on the effects of product market regulation on mark-ups, firm dynamics, investment, employment, innovation, productivity, and output growth. The paper concludes with a summary of lessons learned from the econometric results.

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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 3770.

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Date of creation: 01 Nov 2005
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Handle: RePEc:wbk:wbrwps:3770

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Keywords: Economic Theory&Research; Labor Markets; Inequality; Infrastructure Regulation; Markets and Market Access;

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Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Andrea Bassanini & Giorgio Brunello, 2007. "Barriers to Entry, Deregulation and Workplace Training," IZA Discussion Papers 2746, Institute for the Study of Labor (IZA). [Downloadable!]
  2. Kox, Henk L.M. & Leeuwen, George van & Wiel, Henry van der, 2007. "Market structure, productivity and scale in European business services," MPRA Paper 6137, University Library of Munich, Germany. [Downloadable!]
  3. Pammolli, Fabio & Cambini, Carlo & Giannaccari, Andrea, 2007. "Introduzione. Liberalizzazioni e concorrenza in Italia
    [Introduction. Liberalisation and competition in Italy]    ," MPRA Paper 16125, University Library of Munich, Germany. [Downloadable!]
  4. Giuseppe Fiori & Giuseppe Nicoletti & Stefano Scarpetta & Fabio Schiantarelli, 2007. "Employment Outcomes and the Interaction Between Product and Labor Market Deregulation: Are They Substitutes or Complements?," Boston College Working Papers in Economics 663, Boston College Department of Economics, revised 08 Aug 2008. [Downloadable!]
    Other versions:
  5. Paolo Epifani & Gino Gancia, 2007. "Procompetitive Losses from Trade," Economics Working Papers 1037, Department of Economics and Business, Universitat Pompeu Fabra. [Downloadable!]
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