IDEAS home Printed from https://ideas.repec.org/p/oec/ecoaaa/1850-en.html

Product market regulation and services productivity in the European Union

Author

Listed:
  • Alessandro Zona Mattioli
  • Martin Borowiecki

Abstract

This paper studies how product market regulation (PMR) affects firm-level labour productivity growth and within-sector labour reallocation across EU countries and service sectors from 2000 to 2021. Using productivity shocks to U.S. parent firms as instrument for productivity spillovers, it finds that stricter PMR weakens the positive impact of US shocks on EU subsidiary productivity growth and hampers within-sector labour reallocation. In highly regulated countries and sectors, productivity spillovers are diminished, and employment growth in more productive firms slows. The findings suggest that pro-competition reforms and greater market integration could strengthen productivity and reallocation in the EU service sector.

Suggested Citation

  • Alessandro Zona Mattioli & Martin Borowiecki, 2025. "Product market regulation and services productivity in the European Union," OECD Economics Department Working Papers 1850, OECD Publishing.
    • Handle: RePEc:oec:ecoaaa:1850-en
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oec:ecoaaa:1850-en. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/edoecfr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.