Bassanini, Andrea; Nunziata, Luca; Venn, Danielle - 2008
This paper examines the impact of employment protection legislation on productivity in the OECD, using annual cross …-country aggregate data on the degree of regulations and industry-level data on productivity from 1982 to 2003. We adopt a difference …-in-differences framework, which exploits likely differences in the productivity effect of dismissal regulations in different industries. Our …