Labour market reforms and employment hysteresis
Bibliographic Data
| ID | 21282002 |
|---|---|
| Authors | Paulo R Mota (0000-0001-7028-4545, Universidade do Porto), Paulo B Vasconcelos (0000-0002-7132-880X, Universidade do Porto) |
| Year | 2022 |
| Volume | 72 |
| Issue | 2 |
| Pages | 175-194 |
| Publication date | 2022-06-23 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Acta Oeconomica (JOURNAL) |
| Journal identifiers | ISSN: 0001-6373 • E-ISSN: 1588-2659 |
| Publisher | Akademiai Kiado Zrt. (PUBLISHER • HU) |
| DOI | 10.1556/032.2022.00010 |
| OpenAlex | W4283393243 |
| Language | EN |
| References cited | 36 |
This paper analyses the effects of deregulation of employment in an environment of low interest rates and economic uncertainty. For this purpose, we estimate a switching employment equation based on the play model of hysteresis. As a novel feature, the estimation allows for a possible change in the value of the switching parameter after the implementation of labour market reforms. We use Portuguese monthly industrial data spanning from January 2000 to October 2016. Portugal provides a good case study since it is a country where significant measures towards the deregulation of the labour market were applied after the recent financial crisis. The results show that these measures reduced the hysteresis effects in the dynamics of aggregate employment except in the period where uncertainty increased substantially, when the opposite happened
Aggregate (composite) · Deregulation · Economics · Estimation · Hysteresis · Labour economics · Macroeconomics · Portuguese · Value (mathematics) · Economic Theory and Policy · Employment and Welfare Studies · Labor market dynamics and wage inequality
Unemployment
Investment under Uncertainty
Fiscal Policy in a Depressed Economy
Statistical Inference in Instrumental Variables Regression with I(1) Processes
Hysteresis and the European Unemployment Problem
Job security, employment and wages
The Macroeconomic Consequences of Discontinuous Adjustment
A Simple Model of Hysteresis in Employment under Exchange Rate Uncertainty
Employment Hysteresis from the Great Recession
Entry and Exit Decisions under Uncertainty
Inflation Policy and Unemployment Theory. The Cost-Benefit Approach to Monetary Planning
Investment and Hysteresis
| Citation velocity | historical |
|---|---|
| Highly cited | No |