Can Fixed-term Contracts Put Low Skilled Youth on a Better Career Path? Evidence from Spain

J Ignacio García-Pérez, Ioana Marinescu and Judit Vall Castello
Authors registered in the RePEc Author Service: J. Ignacio García Pérez ()

The Economic Journal, 2019, vol. 129, issue 620, 1693-1730

Abstract: By reducing the commitment made by employers, fixed-term contracts can help low-skilled youth find a first job. However, the long-term impact of fixed-term contracts on these workers’ careers may be negative. Using Spanish social security data, we analysed the impact of a large liberalisation in the regulation of fixed-term contracts in 1984. Using a cohort regression discontinuity design, we find that over the first 10 years in the labour market, the reform reduced the number of days worked (by 4.9%) and earnings (by 9.8%). Over 27 years of labour market career, yearly earnings losses amount to a persistent 7.3%.

Date: 2019
References: Add references at CitEc
Citations: View citations in EconPapers (34)

Downloads: (external link)
http://hdl.handle.net/10.1111/ecoj.12621 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
Working Paper: Can Fixed-Term Contracts Put Low Skilled Youth on a Better Career Path? Evidence from Spain (2016)
Working Paper: Can Fixed-Term Contracts Put Low Skilled Youth on a Better Career Path? Evidence from Spain (2016)
Working Paper: Can Fixed-Term Contracts Put Low Skilled Youth on a Better Career path? Evidence from Spain (2015)
Working Paper: Can Fixed-Term Contracts Put Low Skilled Youth on a Better Career Path? Evidence from Spain (2014)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:oup:econjl:v:129:y:2019:i:620:p:1693-1730.

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

The Economic Journal is currently edited by Francesco Lippi

More articles in The Economic Journal from Royal Economic Society Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press () and ().