Template-type: ReDif-Paper 1.0
Author-Name: Cette, Gilbert
Author-Name: Lopez, Jimmy
Author-Name: Mairesse, Jacques
Author-workplace-name: UNU-MERIT 
Title: Product and labour market regulations, production prices, wages and productivity
Abstract: This study is an attempt to evaluate the effects of product and labour market
	 regulations on industry productivity through their various impacts on changes in
	 production prices and wages. In a first stage, the estimation of a regression
	 equation on an industry*country panel, with controls for country*industry and
	 country*year fixed effects, show that multi-factor productivity is negatively and
	 significantly influenced by both indicators of industrial prices from same industry
	 and weighted average of industrial prices from other industries, and by indicators
	 of country wages weighted by industry labour shares for low and high skilled
	 workers. In a second stage, an economic policy simulation of the implications of
	 these results on the basis of their calibration by the OECD product and labour
	 market anti-competitive regulation indicators suggests that nearly all countries
	 could expect sizeable gains in multifactor productivity from deregulation reforms.
Keywords: Productivity, market imperfections, anti-competitive regulations, rents
Classification-JEL: C23; L16; L50; O43; O47
Series: UNU-MERIT Working Papers
Creation-Date: 2015
Number: 2015-028
File-URL: https://unu-merit.nl/publications/wppdf/2015/wp2015-028.pdf
File-Format: application/pdf
File-Size: 275 kb
Handle: RePEc:unm:unumer:2015028