Barriers to entry, deregulation and workplace training: A theoretical model with evidence from Europe

Bassanini, Andrea; Brunello, Giorgio

doi:10.1016/j.euroecorev.2011.05.004

Cited by 32 publications

(35 citation statements)

References 51 publications

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“…Papke and Wooldridge (1996) show that QMLE estimators of this kind yield consistent estimates of equation [8] independently of any assumption on the error term, for which a robust variance estimator can be easily devised. In addition, in contrast to the more classical weighted-least-square (WLS) estimation of a linear model with log-odd transformation of the dependent variable, the GLM specification does not require adjustment for boundary values (such as zeros) and can be estimated when fractional data are obtained by sample averages in samples of unknown size that cannot therefore be used to construct weights, as is the case for the data used in this paper (see Bassanini and Brunello, 2011, for an application of a similar model to cross-country LFS data at the industry level).…”

Section: Discussionmentioning

confidence: 99%

Dismissal protection and worker flows in OECD countries: Evidence from cross-country/cross-industry data

Bassanini

Garnero²

2013

Labour Economics

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100

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu The Institute for the Study of Labor (IZA) in Bonn is a local and virtual international research center and a place of communication between science, politics and business. IZA is an independent nonprofit organization supported by Deutsche Post Foundation. The center is associated with the University of Bonn and offers a stimulating research environment through its international network, workshops and conferences, data service, project support, research visits and doctoral program. IZA engages in (i) original and internationally competitive research in all fields of labor economics, (ii) development of policy concepts, and (iii) dissemination of research results and concepts to the interested public. Terms of use: Documents in D I S C U S S I O N P A P E R S E R I E SIZA Discussion Papers often represent preliminary work and are circulated to encourage discussion. Citation of such a paper should account for its provisional character. A revised version may be available directly from the author. Exploiting a unique dataset including cross-country comparable hiring and separation rates by type of transition for 24 OECD countries, 23 business-sector industries and 13 years, we study the effect of dismissal regulations on different types of gross worker flows, defined as one-year transitions. We use both a difference-in-difference approach -in which the impact of regulations is identified by exploiting likely cross-industry differences in their impact -and standard time-series analysis -in which the effect of regulations is identified through regulatory changes over time. We find that the more restrictive the regulation, the smaller is the rate of within-industry job-to-job transitions, in particular towards permanent jobs. By contrast, we find no significant effect as regards separations involving an industry change or persistent joblessness. The extent of reinstatement in the case of unfair dismissal appears to be the most important regulatory determinant of gross worker flows. We also present a large battery of robustness checks that suggest that our findings are robust.JEL Classification: J23, J24, J62, J63

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Section: Discussionmentioning

confidence: 99%

Dismissal protection and worker flows in OECD countries: Evidence from cross-country/cross-industry data

Bassanini

Garnero²

2013

Labour Economics

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100

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“…We conclude that training subsidies modify the wage of skilled labor because they affect output per head and training intensity, and influence the wage of unskilled labor because they affect 34 As a first approximation, we assume that very small changes in the training stock have no effect on the marginal returns to training. 35 This section draws heavily from Bassanini and Brunello (2011). 36 Bassanini and Brunello (2011), show that the equilibrium with commitment holds even in absence of commitment.…”

Section: Appendix A1 Training Subsidies With Heterogeneous Workers 35mentioning

confidence: 99%

Training subsidies and the wage returns to continuing vocational training

2012

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“…Schone (2007) finds that greater competitive pressure from foreign companies increases training in Norwegian manufacturing firms, whereas Picchio and van Ours (2011) do not find any significant relationship between training and product market competition or international integration. Finally, Bassanini and Brunello (2011) find a positive sign for the same relationship in 15 OECD countries. In their model, the decreasing effect of greater product market competition is more than compensated by the increase in the number of firms providing training.…”

Section: Industry Structure Firm Characteristics and Trainingmentioning

confidence: 52%