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Effects of the labour market flexibility in the long run: evidence from the italian case (1977-2009)
Journal Title: QA Rivista dell’Associazione Rossi-Doria 
Author/s: Stefano Alderighi, Enrico Ivaldi, Riccardo Soliani 
Year:  2014 Issue: Language: Italian 
Pages:  24 Pg. 87-110 FullText PDF:  163 KB
DOI:  10.3280/QU2014-003004
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Effects of Labour Market Flexibility in the Long Run: Evidence from the Italian Case (1977-2009) The present paper studies whether labour market deregulation is correlated with employment creation in Italy and the decline of trade union power. Our hypothesis is that the correlation does not hold, and that flexible contracts facilitated the dichotomy between industry and tertiary, without causing it. To test it, we first apply principal component analysis, then regression. The hypothesis is almost always confirmed. Flexible contracts are not correlated with youth employment creation, whilst trade union decline is correlated with macroeconomic indicators different from flexible contracts. These interventions facilitated a process already underway, caused by a structural change in the production paradigm. EconLit Classification: E240, J210
Keywords: Labour market, Labour flexibility, Trade unions, Unemployment, Italy, 1977-2009

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Stefano Alderighi, Enrico Ivaldi, Riccardo Soliani, in "QA Rivista dell’Associazione Rossi-Doria" 3/2014, pp. 87-110, DOI:10.3280/QU2014-003004


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