MARC Record from Library of Congress

LEADER: 02562cam a22003257a 4500
001 2007617613
003 DLC
005 20070414082414.0
007 cr |||||||||||
008 070413s2007 gw sb 000 0 eng
010 $a 2007617613
040 $aDLC$cDLC
043 $an-us---
050 00 $aHD5701
100 1 $aAutor, David H.
245 10 $aDo employment protections reduce productivity? evidence from U.S. states$h[electronic resource] /$cby David Autor, William Kerr, Adriana Kugler.
260 $aBonn, Germany :$bIZA,$c[2007]
490 1 $aDiscussion paper ;$vno. 2571
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 4/13/2007.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"Theory predicts that mandated employment protections may reduce productivity by distorting production choices. Firms facing (non-Coasean) worker dismissal costs will curtail hiring below efficient levels and retain unproductive workers, both of which should affect productivity. These theoretical predictions have rarely been tested. We use the adoption of wrongful-discharge protections by U.S. state courts over the last three decades to evaluate the link between dismissal costs and productivity. Drawing on establishment-level data from the Annual Survey of Manufacturers and the Longitudinal Business Database, our estimates suggest that wrongful-discharge protections reduce employment flows and firm entry rates. Moreover, analysis of plant-level data provides evidence of capital deepening and a decline in total factor productivity following the introduction of wrongful-discharge protections. This last result is potentially quite important, suggesting that mandated employment protections reduce productive efficiency as theory would suggest. However, our analysis also presents some puzzles including, most significantly, evidence of strong employment growth following adoption of dismissal protections. In light of these puzzles, we read our findings as suggestive but tentative"--Forschungsinstitut zur Zukunft der Arbeit web site.
650 0 $aJob security$zUnited States.
650 0 $aLabor laws and legislation$zUnited States.
650 0 $aLabor productivity$zUnited States.
700 1 $aKerr, William.
830 0 $aDiscussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;$vno. 2571
856 40 $uhttp://www.iza.org/en/webcontent/publications/papers/viewAbstract?dp_id=2571