Labour Market Institutions and Unemployment: does Finance Matter?

Christophe Rault and Anne-Gaël Vaubourg ()
Additional contact information
Anne-Gaël Vaubourg: LEO - Laboratoire d'économie d'Orleans [2008-2011] - UO - Université d'Orléans - CNRS - Centre National de la Recherche Scientifique

Post-Print from HAL

Abstract: We explore whether fi nance influences the impact of labour market institutions on unemployment. Using a data set of 18 OECD countries over 1980-2004, we estimate a panel Vector AutoRegressive model. We check whether causalities from labour market variables (labour market regulation, union density, coordination in wage bargaining) to unemployment are a ffected by the introduction of financial factors (stock market capitalisation, intermediated credit and banking concentration) in the estimation. In Australia, Belgium, Italy, Japan and Spain, accounting for financial indicators mitigates the benefi ts of labour market flexibilization or makes it harmful to employment. In Austria, Canada, Finland and Portugal, it reduces its detrimental impact or makes it bene cial. In Ireland and Netherlands, both e ffects prevail, depending on the labour market indicator used.

Keywords: Unemployment; labour market; financial factors; institutional interactions; panel VAR.; Chômage; march é du travail; variables fi nanci ères; intéractions institutionnelles; VAR en panel. (search for similar items in EconPapers)
Date: 2012-04-10
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Published in Comparative Economic Studies, 2012, 54 (1), pp.43-64. ⟨10.1057/ces.2011.28⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Labour Market Institutions and Unemployment: does Finance Matter? (2013)
Working Paper: Labour Market Institutions and Unemployment: Does Finance Matter? (2011)
Working Paper: Labour Market Institutions and Unemployment: does Finance Matter? (2011)
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:hal:journl:halshs-00830134

DOI: 10.1057/ces.2011.28

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().