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Labor Market Policies and Employment Duration: The Effects of Labor Market Reform in Argentina

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  • Hugo A. Hopenhayn

Abstract

Over the last few years, the debate on labor market reform has been at the center of economic policy debate in Argentina. This debate has been fueled by the sustained growth in the unemployment rate observed during the decade. One of the major targets of the attack on labor market regulation has been high dismissal costs. Attempts to reduce dismissal costs for all existing jobs have faced strong opposition. As a compromise, and to stimulate job creation, employment promotion contracts for new jobs were introduced in 1995. These contracts are limited to a fixed term ranging from three months to two years.

Suggested Citation

  • Hugo A. Hopenhayn, 2001. "Labor Market Policies and Employment Duration: The Effects of Labor Market Reform in Argentina," Research Department Publications 3106, Inter-American Development Bank, Research Department.
    • Handle: RePEc:idb:wpaper:3106
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    Cited by:

    1. Juan J. Dolado & Marcel Jansen & Juan F. Jimeno, 2005. "Dual employment protection legislation: a framework for analysis," Working Papers 0510, Banco de España.
    2. Ana Carolina Ortega Masagué, 2006. "El diferencial entre las tasas de desempleo de hombres y mujeres en Argentina," Working Papers 2006-08, FEDEA.
    3. Dolado Juan & Jansen Marcel & Jimeno Serrano Juan, 2007. "A Positive Analysis of Targeted Employment Protection Legislation," The B.E. Journal of Macroeconomics, De Gruyter, vol. 7(1), pages 1-30, July.

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