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Culturally based beliefs and labor market institutions

Listed author(s):
  • D'Orlando, Fabio
  • Ferrante, Francesco
  • Ruiu, Gabriele

This paper has two main goals. The first is to provide empirical evidence that differences in labor market institutions across countries and, specifically, in how they provide protection to workers, can be attributed to underlying differences in culturally based prior beliefs: in particular, people's fatalism and trust in others. The second goal is to single out the socio-economic determinants of these beliefs and the role of education in this regard.

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File URL: http://www.sciencedirect.com/science/article/B6W5H-51TPVS9-3/2/2cb206826411c7521a2ee0fd2b2c5c2a
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Article provided by Elsevier in its journal Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics).

Volume (Year): 40 (2011)
Issue (Month): 2 (April)
Pages: 150-162

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Handle: RePEc:eee:soceco:v:40:y:2011:i:2:p:150-162
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/620175

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  5. Flavio Cunha & James Heckman, 2007. "The Technology of Skill Formation," NBER Working Papers 12840, National Bureau of Economic Research, Inc.
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  7. Gilles Saint-Paul, 2002. "The Political Economy of Employment Protection," Journal of Political Economy, University of Chicago Press, vol. 110(3), pages 672-701, June.
  8. Tito Boeri & Pietro Garibaldi, 2007. "Two Tier Reforms of Employment Protection: a Honeymoon Effect?," Economic Journal, Royal Economic Society, vol. 117(521), pages 357-385, 06.
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  11. Paola Sapienza & Luigi Zingales & Luigi Guiso, 2006. "Does Culture Affect Economic Outcomes?," NBER Working Papers 11999, National Bureau of Economic Research, Inc.
  12. Daron Acemoglu & Robert Shimer, 1998. "Efficient Unemployment Insurance," NBER Working Papers 6686, National Bureau of Economic Research, Inc.
  13. Di Tella, Rafael & MacCulloch, Robert J. & Oswald, Andrew J., 2001. "The Macroeconomics of Happiness," The Warwick Economics Research Paper Series (TWERPS) 615, University of Warwick, Department of Economics.
  14. Guiso, Luigi & Sapienza, Paola & Zingales, Luigi, 2005. "Cultural Biases in Economic Exchange," CEPR Discussion Papers 4837, C.E.P.R. Discussion Papers.
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  16. bertola, G. & Rogerson, R., 1996. "Institutions and Labor Reallocation," Papers 272, Banca Italia - Servizio di Studi.
  17. Saint-Paul, G., 1993. "On the Political Economy of Labor Market Flexibility," DELTA Working Papers 93-02, DELTA (Ecole normale supérieure).
  18. Saint-Paul, G., 1995. "Is Labour Rigidity Harming Europe's Competitiveness? The Effect of Job Protection on the Pattern of Trade and Welfare," DELTA Working Papers 95-38, DELTA (Ecole normale supérieure).
  19. Licht, Amir N. & Goldschmidt, Chanan & Schwartz, Shalom H., 2007. "Culture rules: The foundations of the rule of law and other norms of governance," Journal of Comparative Economics, Elsevier, vol. 35(4), pages 659-688, December.
  20. Griliches, Zvi, 1977. "Estimating the Returns to Schooling: Some Econometric Problems," Econometrica, Econometric Society, vol. 45(1), pages 1-22, January.
  21. Yuriy Gorodnichenko & Gerard Roland, 2010. "Culture, Institutions and the Wealth of Nations," NBER Working Papers 16368, National Bureau of Economic Research, Inc.
  22. Fabio D'Orlando & Francesco Ferrante, 2008. "The Demand for Job Protection. Some Clues from Behavioural Economics," Working Papers 2008-04, Universita' di Cassino, Dipartimento di Scienze Economiche.
  23. Paolo Pinotti, 2009. "Trust and Regulation: Addressing a Cultural Bias," Temi di discussione (Economic working papers) 721, Bank of Italy, Economic Research and International Relations Area.
  24. Winkelmann, Liliana & Winkelmann, Rainer, 1998. "Why Are the Unemployed So Unhappy? Evidence from Panel Data," Economica, London School of Economics and Political Science, vol. 65(257), pages 1-15, February.
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