Belot, Michèle; Boone, Jan; Ours, Jan C van - C.E.P.R. Discussion Papers - 2002
Employment protection is often related to costs incurred by firms when they fire a worker. The stability of the … employment relationship, enhanced by employment protection, is also favourable to the productivity of the job. We analyse … employment protection focusing on this trade-off between adjustment costs and productivity. We show that from a welfare point of …