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- Title
Two-tier labor market reform and entry wage of protected workers: evidence from Italy.
- Authors
Ordine, Patrizia; Rose, Giuseppe
- Abstract
This study aims at investigating whether wages of workers entering positions entitled to employment protection are affected by the introduction of a two-tier labor market regime. Difference-in-differences estimators-also combined with propensity score matching-are applied to repeated cross section microdata to evaluate the impact of a reform deregulating the Italian labor market in 2003. The results are robust and show that after the policy implementation protected entrants experienced a reduction in earnings of about $$-$$ 4.5 %.
- Subjects
ITALY; LABOR market; LABOR; JOB security; PROPENSITY score matching; CROSS-sectional method; WAGES
- Publication
Empirical Economics, 2016, Vol 51, Issue 1, p339
- ISSN
0377-7332
- Publication type
Article
- DOI
10.1007/s00181-015-0997-9