setting, i.e. a wage norm regime with automatic price indexing of wages. We consider reductions in employers' social security … contributions can only have significant employment effects if they effectively reduce labour costs. These reductions are only partly … tax and the introduction of a tax on production (mimicking environmental taxes affecting firms' production costs) are the …

2003 reform. This may indicate that the reform provided a good excuse to cut employment in firms that had been forced to … natural experiment, we estimate the impacts of the increased social insurance premiums on employment, working hours and … payroll costs. Using the difference‐in‐differences method with establishment fixed effects, we find that firms reduce the …