Reforming an insider-outsider labor market: the Spanish experience
By S. Bentolila, Juan J. Dolado, J. F. Jimeno. Social Science Research Network, 2012
239 citations recorded by the source corpus.
This paper presents a case study on reforming a very dysfunctional labor market with a deep insider-outsider divide, namely the Spanish case. We show how a dual market, with permanent and temporary employees, makes real reform much harder, and leads to purely marginal changes that do not alter the fundamental features of labour market institutions. While the Great Recession and the start of the sovereign debt crisis have lately triggered two labor reforms, the political economy equilibrium has not allowed them to be transformational enough.JEL codesH29; J23; J38; J41; J64
Subfields: Economics and Econometrics, Finance
View Paper: https://www.semanticscholar.org/paper/f7516d97734585ad3c8f77d536186a85dc8c5332
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Citations in the corpus
- Jobs for Shared Prosperity: Time for Action in the Middle East and North Africa (2013, background): “…and youth have higher rates of approval for increasing contractual fl exibility in the labor market, suggesting that labor market reform would be more likely if outsiders represented the majority of the labor force (see Bentolila, Dolado, and Jimeno 2011; Dolado, Jansen, and Jimeno 2002).”
- Understanding the political economy of the eurozone crisis (2017, unknown): “Entrenched insider-outsider structures (Bentolila et al 2012), strong resistance by vested interests (Featherstone 2015) and clientelistic politics (Afonso et al 2015) have thus generally protected politically influential groups.”
- The youth unemployment challenge in Africa: What are the drivers? (2016, background): “Thus, unemployment is thought, within this framework, to arise if firms take into account only the interests of the employees (insiders) without regard to the interest of jobseekers (outsiders) in the firms’ wage determination process (Bentolila et al., 2011).”
- Labor Market Regulations: What Do We Know About Their Impacts in Developing Countries? (2014, unknown): “Examining the recent financial crisis, Bentolila et al. (2011) estimate that real differences in EPL (i.e., reflecting differences in enforcement) explain much of why the unemployment rate in France did not rise as much 142 The World Bank Research Observer , vol. 30, no. 1 (February 2015) as it did…”
- Under the Radar: The Effects of Monitoring Firms on Tax Compliance (2018, background): “As an example, Bentolila, Dolado, and Jimeno (2012) discuss the costs and rigidities imposed on Spanish firms by multiple regulations in labor markets. i P ss = (l − ul), (19) and P vat = [(y − uy)− (e+ ue)].”
- Determinants of unemployment in Ghana (2013, background): “The model argues that unemployment arises when wages are determined by taking into account only the interests of those employed (insiders), without regard to the interests of those seeking to be employed referred to as the outsiders (see e.g. Bentolila et al., 2011).”