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The Italian Labor Market: Recent Trends, Institutions, and Reform Options

Author/Editor: Schindler, Martin
Authorized for Distribution: March 1, 2009
Electronic Access: Free Full Text (PDF file size is 731KB)
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Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate.

Summary: Despite improvements in labor market performance over the past decade, owing in part to past reforms, Italy's employment and productivity outcomes continue to lag behind those of its European peers. This paper reviews Italy's institutional landscape and labor market trends from a cross-country perspective, and discusses possible avenues for further reform. The policy discussion draws on international reform experience and on simulations based on a calibrated labor market matching model. A key lesson is that the details of reform design, and the sequencing of reforms, matter greatly for labor market outcomes and for the fiscal costs associated with these reforms.
 
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Series: Working Paper No. 09/47
Subject(s): Labor markets | Italy | Labor market reforms | Labor productivity | Wages | Fiscal policy | Economic models | Cross country analysis
Author's keyword(s): Labor markets | product markets | regulations | fiscal policy | Italy | matching model
 
English  
    Published:   March 1, 2009        
            Format:   Paper
    Stock No:   WPIEA2009047   Pages:   22
    Price:   US$18.00 (Academic Rate: US$18.00 )
       
     
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