Regolazione del mercato del lavoro e crescita dimensionale delle imprese: Una verifica sull'effetto soglia dei 15 dipendenti
This paper analyzes the effect of labour market regulation on firm’s behaviour in Italy. In particular, it focuses on the strictness of employment protection legislation in order to evaluate the impact on firms’ size growth. In ltaly, EPL is not enforced uniformly across firms: if they employ more than 15 employees are obliged the rehire an unfairly dismissed worker (article 18 of the labour code). With reference to a panel of manufacturing firms we test for the existence of discontinuities in firms’ growth rates close to 15 employment threshold. We analyze ISAE data considering the period 1999-2002. Two Empirical exercises have been carried out using Evaluation Methods generally adopted in evaluating the outcomes of training programs. In the first estimate we taking into account self selection mechanism. Further evidence is provided assuming a deterministic selection process (sharp Regression Discontinuity Design). In both empirical exercises we found significant but relatively small discouragement in firm’s growth caused by regulation. In the first empirical exercise the decrease of firm growth is estimated (ranging between 3 and 5%), a little lower in the second exercise (ranging between 1.5% and 2.5%).
|Date of creation:||Nov 2003|
|Date of revision:|
|Contact details of provider:|| Postal: Via Cesare Balbo 16, Roma|
Web page: http://www.istat.it/en/
More information through EDIRC
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.:
- Battistin, Erich & Enrico Rettore, 2003.
"Another look at the Regression Discontinuity Design,"
Royal Economic Society Annual Conference 2003
18, Royal Economic Society.
- Erich Battistin & Enrico Rettore, 2003. "Another look at the regression discontinuity design," CeMMAP working papers CWP01/03, Centre for Microdata Methods and Practice, Institute for Fiscal Studies.
- Sandra E. Black, 1999. "Do Better Schools Matter? Parental Valuation of Elementary Education," The Quarterly Journal of Economics, Oxford University Press, vol. 114(2), pages 577-599.
- Andrea Borgarello & Pietro Garibaldi & Lia Pacelli, 2003.
"Employment Protection Legislation and the Size of Firms,"
LABORatorio R. Revelli Working Papers Series
23, LABORatorio R. Revelli, Centre for Employment Studies.
- Pietro Garibaldi & Lia Pacelli & Andrea Borgarello, 2004. "Employment Protection Legislation and the Size of Firms," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 63(1), pages 33-68, April.
- Pietro Garibaldi & Lia Pacelli & Andrea Borgarello, 2003. "Employment Protection Legislation and the Size of Firms," Working Papers 247, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
- Garibaldi, Pietro & Pacelli, Lia & Borgarello, Andrea, 2003. "Employment Protection Legislation and the Size of Firms," IZA Discussion Papers 787, Institute for the Study of Labor (IZA).
- Evans, David S, 1987.
"Tests of Alternative Theories of Firm Growth,"
Journal of Political Economy,
University of Chicago Press, vol. 95(4), pages 657-74, August.
- F. Lotti & E. Santarelli & M. Vivarelli, 1999. "Does Gibrat’s Law Hold in the Case of Young, Small Firms?," Working Papers 361, Dipartimento Scienze Economiche, Universita' di Bologna.
- Mike Burkart & Fausto Panunzi & Andrei Shleifer, 2003.
Journal of Finance,
American Finance Association, vol. 58(5), pages 2167-2202, October.
- Andrei Shleifer & Fausto Panunzi & Mike Burkart, 2002. "Family firms," LSE Research Online Documents on Economics 24926, London School of Economics and Political Science, LSE Library.
- Mike Burkart & Fausto Panunzi & Andrei Shleifer, 2002. "Family Firms," Harvard Institute of Economic Research Working Papers 1944, Harvard - Institute of Economic Research.
- Andrei Shleifer & Fausto Panunzi & Mike Burkart, 2002. "Family Firms," FMG Discussion Papers dp406, Financial Markets Group.
- Burkart, Mike & Panunzi, Fausto & Shleifer, Andrei, 2002. "Family Firms," CEPR Discussion Papers 3234, C.E.P.R. Discussion Papers.
- Mike Burkart & Fausto Panunzi & Andrei Shleifer, 2002. "Family Firms," NBER Working Papers 8776, National Bureau of Economic Research, Inc.
- James J. Heckman & James M. Snyder, Jr., 1996. "Linear Probability Models of the Demand for Attributes with an Empirical Application to Estimating the Preferences of Legislators," NBER Working Papers 5785, National Bureau of Economic Research, Inc.
- Basile Roberto & De Nardis Sergio, 2004.
"Non linearità e dinamica della dimensione d'impresa in Italia,"
Rivista italiana degli economisti,
Società editrice il Mulino, issue 3, pages 423-454.
- Roberto Basile & Sergio de Nardis, 2004. "Non linearità e dinamica della dimensione d'impresa in Italia," ISAE Working Papers 40, ISTAT - Italian National Institute of Statistics - (Rome, ITALY).
- Niall O'Higgins, 2005. "The Challenge of Youth Unemployment," Labor and Demography 0507003, EconWPA.
- Heckman, James J, 1979.
"Sample Selection Bias as a Specification Error,"
Econometric Society, vol. 47(1), pages 153-61, January.
- de Wit, Gerrit, 1993. " Models of Self-Employment in a Competitive Market," Journal of Economic Surveys, Wiley Blackwell, vol. 7(4), pages 367-97, December.
- Gianni Principe, 2003. "Soglie Dimensionali e Regolazione del Rapporto di Lavoro in Italia," ISAE Working Papers 36, ISTAT - Italian National Institute of Statistics - (Rome, ITALY).
- Wilbert van der Klaauw, 2002. "Estimating the Effect of Financial Aid Offers on College Enrollment: A Regression-Discontinuity Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 43(4), pages 1249-1287, November.
- Joshua D. Angrist & Victor Lavy, 1999. "Using Maimonides' Rule to Estimate the Effect of Class Size on Scholastic Achievement," The Quarterly Journal of Economics, Oxford University Press, vol. 114(2), pages 533-575.
- Sascha O. Becker & Andrea Ichino, 2002. "Estimation of average treatment effects based on propensity scores," Stata Journal, StataCorp LP, vol. 2(4), pages 358-377, November.
- Hahn, Jinyong & Todd, Petra & Van der Klaauw, Wilbert, 2001. "Identification and Estimation of Treatment Effects with a Regression-Discontinuity Design," Econometrica, Econometric Society, vol. 69(1), pages 201-09, January.
- O'Higgins, Niall, 1994. "YTS, Employment, and Sample Selection Bias," Oxford Economic Papers, Oxford University Press, vol. 46(4), pages 605-28, October.
- Heckman, James J. & Lalonde, Robert J. & Smith, Jeffrey A., 1999. "The economics and econometrics of active labor market programs," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 31, pages 1865-2097 Elsevier.
When requesting a correction, please mention this item's handle: RePEc:isa:wpaper:38. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Stefania Rossetti)
If references are entirely missing, you can add them using this form.