THE CONSEQUENCES OF (DE)REGULATION ON EMPLOYMENT DURATION AND EFFICIENCY: AN EXPERIMENTAL STUDY.

If the future market wage is uncertain, engaging in long-term employment is risky, with the risk depending on how regulated the labor market is. In our experiment long-term employment can result either from offering long-term contracts or from repeatedly and mutually opting for rematching. Treatment...

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Publicado en:Economic Inquiry Vol. 51; no. 1; pp. 1050 - 1066
Autores principales: BERNINGHAUS, SIEGFRIED, BLEICH, SABRINA, GÜTH, WERNER
Formato: Artículo
Publicado: Wiley-Blackwell Jan2013
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        10.1111/j.1465-7295.2011.00436.x
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        atl: THE CONSEQUENCES OF (DE)REGULATION ON EMPLOYMENT DURATION AND EFFICIENCY: AN EXPERIMENTAL STUDY.
      aug:
        au:
          BERNINGHAUS, SIEGFRIED
          BLEICH, SABRINA
          GÜTH, WERNER
        affil:
          Berninghaus: Institute of Economic Theory and Statistics, Karlsruhe Institute of Technology, 76131 Karlsruhe, Germany. Phone 49 721 608 43380, Fax 49 721 608 43491, E ‐ mail
          Bleich: Institute of Economic Theory and Statistics, Karlsruhe Institute of Technology, 76131 Karlsruhe, Germany. Phone 49 721 608 46134, Fax 49 721 608 43491, E ‐ mail
          Güth: Max Planck Institute of Economics, Kahlaische Strasse 10, 07745 JENa, Germany. Phone 49 3641 686 620, Fax 49 3641 686 623, E ‐ mail
      su:
        Universität Karlsruhe
        Employment policy
        Labor market
        Wages
        Income
        Economics
        Government regulation & economics
        Long-term employees
        Labor contracts
        Experiments
      sug:
        subj:
          Employment policy
          Labor market
          Wages
          Income
          Economics
          Universität Karlsruhe
          Government regulation & economics
          Long-term employees
          Labor contracts
          Experiments
      ab: If the future market wage is uncertain, engaging in long-term employment is risky, with the risk depending on how regulated the labor market is. In our experiment long-term employment can result either from offering long-term contracts or from repeatedly and mutually opting for rematching. Treatments differ in how regulations restrict the employer's flexibility in adapting the employment contract. All treatments allow for longer contract duration as well as for mutually opting to be rematched. Effort is chosen by employees after a contract is concluded. Treatments vary from no contract flexibility to no restriction at all. Will more (downward) flexibility be used in ongoing employment but reduce labor market efficiency? And will regulation crowd out long-term employment, in the form of long-term contracts or voluntary rematching?
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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