Resumen
This paper compares non-enforceable and enforceable measures of labor rigidities as a measure of the quality of labor institutions, and tests whether such labor rigidities are conducive to long-run growth. We find that non-enforceable labor regulations do not have a bearing on economic growth, but enforceable labor regulations do. In fact, when using a GMM-IV method for a panel data of countries during the period 1970-2000 that accounts for weak endogeneity, we find that such a link is negative and statistically significant. It appears that labor rigidities are thus negatively linked with long-run economic growth.
Idioma original | Inglés |
---|---|
Páginas (desde-hasta) | 38-49 |
Número de páginas | 12 |
Publicación | Emerging Markets Review |
Volumen | 8 |
N.º | 1 |
DOI | |
Estado | Publicada - 1 mar. 2007 |
Publicado de forma externa | Sí |
Palabras clave
- Enforcement
- GMM-IV
- Growth
- Institutions
- Labor rigidities