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Labour Market Institutions and the Employment Intensity of Output Growth

Author

Listed:
  • Flaig Gebhard

    (University of Munich, Schackstrasse 4, 80539 Munich, Germany)

  • Rottmann Horst

    (University of Applied Sciences Amberg-Weiden, Hetzenrichter Weg 1, 92637 Weiden, Germany)

Abstract

This paper deals with the effects of labour market institutions on labour market performance. We analyse as an indicator for the labour intensity of output growth the employment threshold (the minimum growth rate of output necessary to keep employment constant). We show for a sample of 17 OECD countries for the period 1971 to 2002 that the strictness of employment protection raises the employment threshold in all econometric specifications. A higher wage bargaining co-ordination and a higher tax wedge reduce also the labour intensity of production, although the effects are not in all econometric specifications significant

Suggested Citation

  • Flaig Gebhard & Rottmann Horst, 2009. "Labour Market Institutions and the Employment Intensity of Output Growth," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 229(1), pages 22-35, February.
    • Handle: RePEc:jns:jbstat:v:229:y:2009:i:1:p:22-35
    DOI: 10.1515/jbnst-2009-0103
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Primož Dolenc & Suzana Laporšek, 2012. "Taxing wages and sustainable labour market performance: empirical evidence from OECD and EU countries," International Journal of Sustainable Economy, Inderscience Enterprises Ltd, vol. 4(3), pages 234-253.
    2. Rottmann, Horst & Flaig, Gebhard, 2011. "Labour market institutions and unemployment: An international comparison," Weidener Diskussionspapiere 31, University of Applied Sciences Amberg-Weiden (OTH).
    3. Gebhard Flaig & Horst Rottmann, 2013. "Labour market institutions and unemployment: an international panel data analysis," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 40(4), pages 635-654, November.
    4. Primož Dolenc & Suzana Laporšek, 2010. "Tax Wedge on Labour and its Effect on Employment Growth in the European Union," Prague Economic Papers, Prague University of Economics and Business, vol. 2010(4), pages 344-358.
    5. Alexei Izyumov, 2010. "Human Costs of Post-communist Transition: Public Policies and Private Response," Review of Social Economy, Taylor & Francis Journals, vol. 68(1), pages 93-125.
    6. Emilia Herman, 2011. "The Impact of Economic Growth Process on Employment in European Union Countries," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 14(42), pages 47-67, December.
    7. Emilia HERMAN, 2012. "The Influence of the Economic Growth Process on Romanian Employment," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 1, pages 5-12.

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    More about this item

    Keywords

    Employment protection; labour market institutions; labour demand; international comparison; employment threshold;
    All these keywords.

    JEL classification:

    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General

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