Réforme de la protection de l'emploi et performance du marché du travail dans un modèle d'appariement

O. L'HARIDON, F. Malherbet

Annales d'Economie et de Statistique

July-December 2010, n°99/100, pp.247-284

Departments: GREGHEC (CNRS)

In this article, we evaluate the virtues of an employment protection reform which is based on a simplification of the red tape and legal costs associated with layoffs and on the introduction of a U.S.-style experience-rating system. To this end, we use a search and matching model à la Mortensen and Pissarides to show that such a reform improves both the design of employment protection and the performance of the labor market