Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries?
Labor market regulation is a high-profile, and often contentious, area of public policy. Although these regulations have been studied most extensively in developed countries, there is a growing body of literature on their effects in developing coun...
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
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World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2014/03/19303517/labor-market-regulations-know-impacts-developing-countries http://hdl.handle.net/10986/17732 |
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okr-10986-17732 |
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| recordtype |
oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING ACTIVE LABOR ACTIVE LABOR MARKET ACTIVE LABOR MARKET PROGRAMS ADVERSE EFFECTS AGGREGATE EMPLOYMENT ASSESSING LABOR MARKET BARGAINING POWER BUSINESS CYCLE CAPITAL INVESTMENTS COLLECTIVE BARGAINING COLLECTIVE DISMISSAL COMPETITIVENESS CONTRACT LABOR CREATIVE DESTRUCTION CROSS-SECTIONAL DATA DEVELOPMENT ECONOMICS DISMISSAL DISTRIBUTION OF INCOME EARNING EARNINGS INEQUALITY ECONOMIC CONDITIONS ECONOMIC EFFECTS ECONOMIC EFFICIENCY ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC THEORY EMPLOYMENT EMPLOYMENT DURATION EMPLOYMENT DYNAMICS EMPLOYMENT EFFECT EMPLOYMENT EFFECTS EMPLOYMENT FORMS EMPLOYMENT GROWTH EMPLOYMENT IMPACT EMPLOYMENT IMPACTS EMPLOYMENT LEVELS EMPLOYMENT OPPORTUNITIES EMPLOYMENT OUTLOOK EMPLOYMENT PATTERNS EMPLOYMENT PERFORMANCE EMPLOYMENT PROTECTION LEGISLATION EMPLOYMENT PROTECTION RULES EXOGENOUS VARIABLES FAIR FINANCIAL MARKET FIRING COSTS FIRM ENTRY FIRM SIZE FIRM SIZE DISTRIBUTION GENERAL EQUILIBRIUM HIGH UNEMPLOYMENT HIGH UNEMPLOYMENT RATES HUMAN CAPITAL HUMAN RESOURCES IMPERFECT INFORMATION INCOME INDUSTRIAL LABOR INDUSTRIAL RELATIONS INFORMAL EMPLOYMENT INFORMAL SECTOR INFORMAL SECTOR WORKERS INNOVATION INNOVATIONS JOB CREATION JOB LOSS JOB MARKET JOB PERFORMANCE JOB SECURITY JOB TENURE JOB TURNOVER JOBS LABOR ADJUSTMENT LABOR COSTS LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR LAWS LABOR LEGISLATION LABOR MARKET LABOR MARKET DYNAMICS LABOR MARKET FLEXIBILITY LABOR MARKET INSTITUTIONS LABOR MARKET OUTCOMES LABOR MARKET PERFORMANCE LABOR MARKET POLICIES LABOR MARKET REFORM LABOR MARKET REFORMS LABOR MARKET REGULATION LABOR MARKET REGULATIONS LABOR MARKET RIGIDITIES LABOR MARKETS LABOR POLICIES LABOR PRODUCTIVITY LABOR PRODUCTIVITY GROWTH LABOR REALLOCATION LABOR REGULATION LABOR REGULATIONS LABOR RELATIONS LABOR SUPPLY LABOR TURNOVER LABOUR LABOUR DEMAND LABOUR LAWS LABOUR MARKET LABOUR MARKET INSTITUTIONS LABOUR MARKET PERFORMANCE LABOUR MARKET POLICIES LABOUR MARKET REFORM LABOUR MARKET REFORMS LABOUR MARKET REGULATION LABOUR REALLOCATION LABOUR REGULATION LABOUR STUDIES LAYOFFS LEARNING LITERATURE LIVING STANDARDS LOW UNEMPLOYMENT LOW-WAGE EMPLOYMENT MARKET DEVELOPMENTS MARKET DISTORTIONS MARKET FAILURES MARKET INTEGRATION MARKET POWER MARKET WAGES MIGRATION MINIMUM WAGE MINIMUM WAGES MOTIVATION MULTIFACTOR PRODUCTIVITY MULTIFACTOR PRODUCTIVITY GROWTH MUNICIPALITIES OCCUPATION OPEN ACCESS PAPERS PENALTIES PERMANENT EMPLOYMENT PERMANENT JOBS PERMANENT WORKER PERMANENT WORKERS POLITICAL ECONOMY POLITICAL PROCESS PRODUCTIVITY EFFECT PRODUCTIVITY EFFECTS PRODUCTIVITY GROWTH PRODUCTIVITY LEVELS PUBLIC FINANCE PUBLIC POLICY REGULAR CONTRACTS REGULAR WORKERS REGULATORY FRAMEWORK RESEARCH FINDINGS RESEARCH INSTITUTE RESEARCH METHODS RESEARCHERS RISK MANAGEMENT SEVERANCE PAYMENTS SOCIAL COHESION SOCIAL RESPONSIBILITY STRUCTURAL ADJUSTMENT SUBSTITUTION SUBSTITUTION EFFECT TAX ADMINISTRATION TEMPORARY EMPLOYMENT TOTAL FACTOR PRODUCTIVITY TRADE UNIONS TRAINING COSTS TRANSACTION COSTS UNEMPLOYMENT UNEMPLOYMENT INSURANCE UNEMPLOYMENT RATE UNION DENSITY UNSKILLED LABOR UNSKILLED WORKERS WAGE BILL WAGE COMPRESSION WAGE DIFFERENTIALS WAGE DISPERSION WAGE DISTRIBUTION WAGE EFFECT WAGE EFFECTS WAGE FLOOR WAGE GAINS WAGE INCREASE WAGE INCREASES WAGE INEQUALITY WAGE POLICIES WAGE POLICY WAGE SET WORKER WORKERS WORKING CONDITIONS |
| spellingShingle |
ACCOUNTING ACTIVE LABOR ACTIVE LABOR MARKET ACTIVE LABOR MARKET PROGRAMS ADVERSE EFFECTS AGGREGATE EMPLOYMENT ASSESSING LABOR MARKET BARGAINING POWER BUSINESS CYCLE CAPITAL INVESTMENTS COLLECTIVE BARGAINING COLLECTIVE DISMISSAL COMPETITIVENESS CONTRACT LABOR CREATIVE DESTRUCTION CROSS-SECTIONAL DATA DEVELOPMENT ECONOMICS DISMISSAL DISTRIBUTION OF INCOME EARNING EARNINGS INEQUALITY ECONOMIC CONDITIONS ECONOMIC EFFECTS ECONOMIC EFFICIENCY ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC THEORY EMPLOYMENT EMPLOYMENT DURATION EMPLOYMENT DYNAMICS EMPLOYMENT EFFECT EMPLOYMENT EFFECTS EMPLOYMENT FORMS EMPLOYMENT GROWTH EMPLOYMENT IMPACT EMPLOYMENT IMPACTS EMPLOYMENT LEVELS EMPLOYMENT OPPORTUNITIES EMPLOYMENT OUTLOOK EMPLOYMENT PATTERNS EMPLOYMENT PERFORMANCE EMPLOYMENT PROTECTION LEGISLATION EMPLOYMENT PROTECTION RULES EXOGENOUS VARIABLES FAIR FINANCIAL MARKET FIRING COSTS FIRM ENTRY FIRM SIZE FIRM SIZE DISTRIBUTION GENERAL EQUILIBRIUM HIGH UNEMPLOYMENT HIGH UNEMPLOYMENT RATES HUMAN CAPITAL HUMAN RESOURCES IMPERFECT INFORMATION INCOME INDUSTRIAL LABOR INDUSTRIAL RELATIONS INFORMAL EMPLOYMENT INFORMAL SECTOR INFORMAL SECTOR WORKERS INNOVATION INNOVATIONS JOB CREATION JOB LOSS JOB MARKET JOB PERFORMANCE JOB SECURITY JOB TENURE JOB TURNOVER JOBS LABOR ADJUSTMENT LABOR COSTS LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR LAWS LABOR LEGISLATION LABOR MARKET LABOR MARKET DYNAMICS LABOR MARKET FLEXIBILITY LABOR MARKET INSTITUTIONS LABOR MARKET OUTCOMES LABOR MARKET PERFORMANCE LABOR MARKET POLICIES LABOR MARKET REFORM LABOR MARKET REFORMS LABOR MARKET REGULATION LABOR MARKET REGULATIONS LABOR MARKET RIGIDITIES LABOR MARKETS LABOR POLICIES LABOR PRODUCTIVITY LABOR PRODUCTIVITY GROWTH LABOR REALLOCATION LABOR REGULATION LABOR REGULATIONS LABOR RELATIONS LABOR SUPPLY LABOR TURNOVER LABOUR LABOUR DEMAND LABOUR LAWS LABOUR MARKET LABOUR MARKET INSTITUTIONS LABOUR MARKET PERFORMANCE LABOUR MARKET POLICIES LABOUR MARKET REFORM LABOUR MARKET REFORMS LABOUR MARKET REGULATION LABOUR REALLOCATION LABOUR REGULATION LABOUR STUDIES LAYOFFS LEARNING LITERATURE LIVING STANDARDS LOW UNEMPLOYMENT LOW-WAGE EMPLOYMENT MARKET DEVELOPMENTS MARKET DISTORTIONS MARKET FAILURES MARKET INTEGRATION MARKET POWER MARKET WAGES MIGRATION MINIMUM WAGE MINIMUM WAGES MOTIVATION MULTIFACTOR PRODUCTIVITY MULTIFACTOR PRODUCTIVITY GROWTH MUNICIPALITIES OCCUPATION OPEN ACCESS PAPERS PENALTIES PERMANENT EMPLOYMENT PERMANENT JOBS PERMANENT WORKER PERMANENT WORKERS POLITICAL ECONOMY POLITICAL PROCESS PRODUCTIVITY EFFECT PRODUCTIVITY EFFECTS PRODUCTIVITY GROWTH PRODUCTIVITY LEVELS PUBLIC FINANCE PUBLIC POLICY REGULAR CONTRACTS REGULAR WORKERS REGULATORY FRAMEWORK RESEARCH FINDINGS RESEARCH INSTITUTE RESEARCH METHODS RESEARCHERS RISK MANAGEMENT SEVERANCE PAYMENTS SOCIAL COHESION SOCIAL RESPONSIBILITY STRUCTURAL ADJUSTMENT SUBSTITUTION SUBSTITUTION EFFECT TAX ADMINISTRATION TEMPORARY EMPLOYMENT TOTAL FACTOR PRODUCTIVITY TRADE UNIONS TRAINING COSTS TRANSACTION COSTS UNEMPLOYMENT UNEMPLOYMENT INSURANCE UNEMPLOYMENT RATE UNION DENSITY UNSKILLED LABOR UNSKILLED WORKERS WAGE BILL WAGE COMPRESSION WAGE DIFFERENTIALS WAGE DISPERSION WAGE DISTRIBUTION WAGE EFFECT WAGE EFFECTS WAGE FLOOR WAGE GAINS WAGE INCREASE WAGE INCREASES WAGE INEQUALITY WAGE POLICIES WAGE POLICY WAGE SET WORKER WORKERS WORKING CONDITIONS Betcherman, Gordon Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| relation |
Policy Research Working Paper;No. 6819 |
| description |
Labor market regulation is a
high-profile, and often contentious, area of public policy.
Although these regulations have been studied most
extensively in developed countries, there is a growing body
of literature on their effects in developing countries. This
paper reviews that literature and focuses on the impacts of
two important types of labor market regulation, minimum
wages and employment protection legislation (EPL), on
employment, earnings, and productivity. Strong and opposing
views exist regarding the costs and benefits of these
regulations, but the results of this review suggest that
their impacts are generally smaller than the heat of the
debates would suggest. Efficiency effects are found
sometimes, but not always, and the effects can be in either
direction and are usually modest. The distributional impacts
of both minimum wage and employment protection legislation
are clearer, with two effects predominating: an equalizing
effect among covered workers, but with groups such as youth,
women, and the less skilled disproportionately outside the
coverage and its benefits. Although the overall conclusion
is one of modest effects in most cases, the policy
implication is not that these regulations do not matter. On
the one hand, both minimum wages and EPL can affect
distributional objectives. On the other hand, these
regulations can generate undesirable economic or social
impacts if they are established or operate in ways that
exacerbate the labor market imperfections that they were
designed to address. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Betcherman, Gordon |
| author_facet |
Betcherman, Gordon |
| author_sort |
Betcherman, Gordon |
| title |
Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| title_short |
Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| title_full |
Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| title_fullStr |
Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| title_full_unstemmed |
Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? |
| title_sort |
labor market regulations : what do we know about their impacts in developing countries? |
| publisher |
World Bank, Washington, DC |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2014/03/19303517/labor-market-regulations-know-impacts-developing-countries http://hdl.handle.net/10986/17732 |
| _version_ |
1764438215537721344 |
| spelling |
okr-10986-177322021-04-23T14:03:40Z Labor Market Regulations : What Do We Know about Their Impacts in Developing Countries? Betcherman, Gordon ACCOUNTING ACTIVE LABOR ACTIVE LABOR MARKET ACTIVE LABOR MARKET PROGRAMS ADVERSE EFFECTS AGGREGATE EMPLOYMENT ASSESSING LABOR MARKET BARGAINING POWER BUSINESS CYCLE CAPITAL INVESTMENTS COLLECTIVE BARGAINING COLLECTIVE DISMISSAL COMPETITIVENESS CONTRACT LABOR CREATIVE DESTRUCTION CROSS-SECTIONAL DATA DEVELOPMENT ECONOMICS DISMISSAL DISTRIBUTION OF INCOME EARNING EARNINGS INEQUALITY ECONOMIC CONDITIONS ECONOMIC EFFECTS ECONOMIC EFFICIENCY ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC THEORY EMPLOYMENT EMPLOYMENT DURATION EMPLOYMENT DYNAMICS EMPLOYMENT EFFECT EMPLOYMENT EFFECTS EMPLOYMENT FORMS EMPLOYMENT GROWTH EMPLOYMENT IMPACT EMPLOYMENT IMPACTS EMPLOYMENT LEVELS EMPLOYMENT OPPORTUNITIES EMPLOYMENT OUTLOOK EMPLOYMENT PATTERNS EMPLOYMENT PERFORMANCE EMPLOYMENT PROTECTION LEGISLATION EMPLOYMENT PROTECTION RULES EXOGENOUS VARIABLES FAIR FINANCIAL MARKET FIRING COSTS FIRM ENTRY FIRM SIZE FIRM SIZE DISTRIBUTION GENERAL EQUILIBRIUM HIGH UNEMPLOYMENT HIGH UNEMPLOYMENT RATES HUMAN CAPITAL HUMAN RESOURCES IMPERFECT INFORMATION INCOME INDUSTRIAL LABOR INDUSTRIAL RELATIONS INFORMAL EMPLOYMENT INFORMAL SECTOR INFORMAL SECTOR WORKERS INNOVATION INNOVATIONS JOB CREATION JOB LOSS JOB MARKET JOB PERFORMANCE JOB SECURITY JOB TENURE JOB TURNOVER JOBS LABOR ADJUSTMENT LABOR COSTS LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR LAWS LABOR LEGISLATION LABOR MARKET LABOR MARKET DYNAMICS LABOR MARKET FLEXIBILITY LABOR MARKET INSTITUTIONS LABOR MARKET OUTCOMES LABOR MARKET PERFORMANCE LABOR MARKET POLICIES LABOR MARKET REFORM LABOR MARKET REFORMS LABOR MARKET REGULATION LABOR MARKET REGULATIONS LABOR MARKET RIGIDITIES LABOR MARKETS LABOR POLICIES LABOR PRODUCTIVITY LABOR PRODUCTIVITY GROWTH LABOR REALLOCATION LABOR REGULATION LABOR REGULATIONS LABOR RELATIONS LABOR SUPPLY LABOR TURNOVER LABOUR LABOUR DEMAND LABOUR LAWS LABOUR MARKET LABOUR MARKET INSTITUTIONS LABOUR MARKET PERFORMANCE LABOUR MARKET POLICIES LABOUR MARKET REFORM LABOUR MARKET REFORMS LABOUR MARKET REGULATION LABOUR REALLOCATION LABOUR REGULATION LABOUR STUDIES LAYOFFS LEARNING LITERATURE LIVING STANDARDS LOW UNEMPLOYMENT LOW-WAGE EMPLOYMENT MARKET DEVELOPMENTS MARKET DISTORTIONS MARKET FAILURES MARKET INTEGRATION MARKET POWER MARKET WAGES MIGRATION MINIMUM WAGE MINIMUM WAGES MOTIVATION MULTIFACTOR PRODUCTIVITY MULTIFACTOR PRODUCTIVITY GROWTH MUNICIPALITIES OCCUPATION OPEN ACCESS PAPERS PENALTIES PERMANENT EMPLOYMENT PERMANENT JOBS PERMANENT WORKER PERMANENT WORKERS POLITICAL ECONOMY POLITICAL PROCESS PRODUCTIVITY EFFECT PRODUCTIVITY EFFECTS PRODUCTIVITY GROWTH PRODUCTIVITY LEVELS PUBLIC FINANCE PUBLIC POLICY REGULAR CONTRACTS REGULAR WORKERS REGULATORY FRAMEWORK RESEARCH FINDINGS RESEARCH INSTITUTE RESEARCH METHODS RESEARCHERS RISK MANAGEMENT SEVERANCE PAYMENTS SOCIAL COHESION SOCIAL RESPONSIBILITY STRUCTURAL ADJUSTMENT SUBSTITUTION SUBSTITUTION EFFECT TAX ADMINISTRATION TEMPORARY EMPLOYMENT TOTAL FACTOR PRODUCTIVITY TRADE UNIONS TRAINING COSTS TRANSACTION COSTS UNEMPLOYMENT UNEMPLOYMENT INSURANCE UNEMPLOYMENT RATE UNION DENSITY UNSKILLED LABOR UNSKILLED WORKERS WAGE BILL WAGE COMPRESSION WAGE DIFFERENTIALS WAGE DISPERSION WAGE DISTRIBUTION WAGE EFFECT WAGE EFFECTS WAGE FLOOR WAGE GAINS WAGE INCREASE WAGE INCREASES WAGE INEQUALITY WAGE POLICIES WAGE POLICY WAGE SET WORKER WORKERS WORKING CONDITIONS Labor market regulation is a high-profile, and often contentious, area of public policy. Although these regulations have been studied most extensively in developed countries, there is a growing body of literature on their effects in developing countries. This paper reviews that literature and focuses on the impacts of two important types of labor market regulation, minimum wages and employment protection legislation (EPL), on employment, earnings, and productivity. Strong and opposing views exist regarding the costs and benefits of these regulations, but the results of this review suggest that their impacts are generally smaller than the heat of the debates would suggest. Efficiency effects are found sometimes, but not always, and the effects can be in either direction and are usually modest. The distributional impacts of both minimum wage and employment protection legislation are clearer, with two effects predominating: an equalizing effect among covered workers, but with groups such as youth, women, and the less skilled disproportionately outside the coverage and its benefits. Although the overall conclusion is one of modest effects in most cases, the policy implication is not that these regulations do not matter. On the one hand, both minimum wages and EPL can affect distributional objectives. On the other hand, these regulations can generate undesirable economic or social impacts if they are established or operate in ways that exacerbate the labor market imperfections that they were designed to address. 2014-04-10T20:17:42Z 2014-04-10T20:17:42Z 2014-03 http://documents.worldbank.org/curated/en/2014/03/19303517/labor-market-regulations-know-impacts-developing-countries http://hdl.handle.net/10986/17732 English en_US Policy Research Working Paper;No. 6819 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research |