Firm Size Distribution and EPL in Italy
dc.contributor.author | Schivardi, Fabiano | en_US |
dc.contributor.author | Torrini, Roberto | en_US |
dc.date.accessioned | 2006-08-01T15:43:40Z | |
dc.date.available | 2006-08-01T15:43:40Z | |
dc.date.issued | 2003-09-01 | en_US |
dc.identifier.other | RePEc:wdi:papers:2003-613 | en_US |
dc.identifier.uri | https://hdl.handle.net/2027.42/39999 | en_US |
dc.description.abstract | We study the role of employment protection legislation (EPL) in explaining the relative small average size of Italian firms. We construct a simple model that shows that the smooth relation between size and growth probability is disturbed in proximity of the thresholds at which EPL applies di.erentially. We use a comprehensive dataset of all Italian firms between 1986 and 1998 to estimate the e.ects of EPL in terms of discouraging small firms from growing. We then construct a stochastic transition matrix for firm size that, together with the estimates, allows for a quantitative evaluation of the e.ects of EPL in the long run. Our results show that EPL does influence firm size distribution, but that its e.ects are quantitatively modest: average firm size would increase by less than 1% when removing the threshold e.ect. In terms of policy, these findings suggest that changes in EPL are not likely to have a large impact on the propensity of small firms to grow | en_US |
dc.format.extent | 81085 bytes | |
dc.format.extent | 3151 bytes | |
dc.format.extent | 635039 bytes | |
dc.format.mimetype | text/plain | |
dc.format.mimetype | text/plain | |
dc.format.mimetype | application/pdf | |
dc.language.iso | en_US | en_US |
dc.relation.ispartofseries | 613 | en_US |
dc.subject | Firm Size Distribution, Employment Protection, Firing Costs | en_US |
dc.subject.other | J65, D21, L11 | en_US |
dc.title | Firm Size Distribution and EPL in Italy | en_US |
dc.type | Working Paper | en_US |
dc.subject.hlbsecondlevel | Economics | en_US |
dc.subject.hlbtoplevel | Business | en_US |
dc.description.bitstreamurl | http://deepblue.lib.umich.edu/bitstream/2027.42/39999/3/wp613.pdf | en_US |
dc.owningcollname | William Davidson Institute (WDI) - Working Papers |
Files in this item
Remediation of Harmful Language
The University of Michigan Library aims to describe library materials in a way that respects the people and communities who create, use, and are represented in our collections. Report harmful or offensive language in catalog records, finding aids, or elsewhere in our collections anonymously through our metadata feedback form. More information at Remediation of Harmful Language.
Accessibility
If you are unable to use this file in its current format, please select the Contact Us link and we can modify it to make it more accessible to you.